Groupe Bruxelles Lambert (XBRU:GBLB), an investment holding company listed on the Brussels Stock Exchange since 1956, is an example of an out-of-the-spotlight business in the Portfolio. The company, whose capitalization makes it one of the largest firms in Belgium, is an investment vehicle for Belgium businessmen Albert and Gerald Frère and the Desmarais family in Canada. Groupe Bruxelles Lambert tends to concentrate its investments in a handful of mostly European public companies it believes are undervalued industry leaders. Holdings include the integrated energy and chemicals company Total, the international utility company GDF Suez, the building materials firm Lafarge, the industrial minerals company Imerys, and the global wines and spirits company Pernod Ricard, all of which are based in France. Because the stock of Groupe Bruxelles Lambert trades at a significant discount to the market value of its investments, our ownership of this stock allows us to participate in this portfolio of businesses at a steeply discounted price.
From Chris Davis (Trades, Portfolio)’ Davis International Fund Semi-Annual Review 2014.
