Bolloré’s (XPAR:BOL, Financial) shares were a strong performer during the quarter due to its highly anticipated September public offering and share distribution of Universal Music Group (UMG). This will result in Bolloré directly owning approximately 18% of UMG and indirectly owning another 3% through its position in Vivendi. The UMG position alone could be worth the current stock price. Besides this continued ownership of Vivendi, the company has a valuable port/logistics/transportation infrastructure business, plus an electric vehicle battery business that we think is underappreciated. We believe this is just one of several simplification steps that might occur over the next 12-24 months leading to a significant re-rating in Bolloré’s share price.
From the Yacktman Fund (Trades, Portfolio)'s second-quarter 2021 shareholder letter.
