Econocom - 2019 Universal registration document

05 management report profit for the year

Econocom also subscribed to the capital • increases carried out by its subsidiary Digital Dimension; lastly the Group created a reinsurance • company, Econocom Ré aimed at better managing (in coordination with insurance companies) the hedging of the credit risks of its TMF business. Legal reorganisation 2.3.4.2. As is the case each year, Econocom group implemented measures to streamline and simplify its legal organisation. Measures performed in 2019 were aimed at combining companies with similar activities in the same country. In France, Exaprobe absorbed its subsidiary Aciernet, and in Spain Altabox absorbed Focus on Emotion. Moreover, in order to streamline and simplify its organisation chart, the Group closed down certain non-operating subsidiaries in the Netherlands and Spain. As a result of the reorganisations carried out in 2019, the number of legal entities within the Group was reduced by four, thereby streamlining the Company organisation.

BUSINESS OVERVIEW 2.3.4. Acquisitions, disposals, 2.3.4.1. equity investments and formations of subsidiaries In 2019, Econocom group acquired additional equity investments in some of its satellites through buybacks of non-controlling interests and carried out disposals as part of the Group's transformation plan. Thus, the Econocom group exercised its options in order to strengthen its stake in Infeeny and Gigigo group. It sold its stakes in Jade Solutions and Rayonnance. Moreover, as part of the management of its subsidiaries and the Group organisation chart: Econocom group acquired from Econocom • Lease its equity investment in Econocom Finance, the Group's cash centre in charge of financing Group companies. Following that transaction, Econocom group directly holds 100% of Econocom Finance's capital. Moreover, Econocom group acquired from its subsidiary Econocom International Italia all the stock in the Italian company BDF;

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2019 annual report