News

By Dominique Vidalon

PARIS, March 27 (Reuters) - Shares in Casino CASP.PA will be suspended on Wednesday as a new leadership team formed around Czech billionaire Daniel Kretinsky takes control and its board meets to review the completion of the new company structure.

Casino has requested that its shares be suspended from 0800 GMT until further notice and pending the release of a statement, stock market operator Euronext said.

France's seventh-largest supermarket group by market share was brought to the verge of default last year after years of debt-fuelled acquisitions and losses in market share to rivals.

The restructuring of Casino by a consortium led by Kretinsky massively dilutes current shareholders, most notably 75-year old Jean-Charles Naouri, who has led Casino for 30 years controlling it through his holding company Rallye GENC.PA.

According to a March 12 prospectus, Kretinsky's consortium is expected to own 52.1% of Casino under a bailout deal that entailed a 1.2 billion euro capital injection and a 6.1 billion euro reduction of Casino's debt.

Naouri is due to resign on Wednesday as are all other members of the Casino board with the exception of independent member Nathalie Andrieux.

Former French secretary of state for pensions and Auchan executive Laurent Pietraszewski will become chairman while former Metro and Lactalis executive Philippe Palazzi will become Casino's chief executive.

Casino stock closed at 0.1069 euros on Tuesday, having lost 86% so far this year.

(Reporting by Dominique Vidalon; Editing by GV De Clercq and Edwina Gibbs)

((dominique.vidalon@thomsonreuters.com; +33149495432; Reuters Messaging: dominique.vidalon.reuters.com@reuters.net))

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