Who is Michel Ohayon? This name may not mean anything to you, but you definitely know his companies! And for good reason, he is at the head of one of the largest real estate and commercial empires in France. However, in recent times, financial and legal difficulties have been accumulating for the French billionaire. Zoom on his journey!
Galeries Lafayette, Camaïeu, GO Sport, Gap… These brands all have one thing in common: they are managed by the same man, Michel Ohayon. Unfortunately, this is not the only thing that brings them together… In fact, for several months, all of them have reported difficulties. In addition, Michel Ohayon’s main holding company was placed in receivership. From success to failure, there is sometimes only one step. This is the story of a businessman not quite like the others.
Who is Michel Ohayon?
Michel Ohayon was born in the 1960s, in Casablanca. When he was only two years old, his parents left Morocco for Mérignac, a small town in the Bordeaux suburbs, where they later became fabric merchants. Michel Ohayon lived a fairly classic childhood. If he tries to study medicine, very quickly, the desire to undertake, to create and to rise socially invades his thoughts.
This is how, at the age of 22, he opened his first clothing store in Bordeaux, under a Daniel Hecther franchise. Very quickly, this store became a real success. The profits made, as well as the help of his father, quickly allowed him to buy other shops. In just a few years, Michel Ohayon has owned more than fifteen stores and employs nearly 150 people. It’s the start of a great story in the world of business and fashion for the young Franco-Moroccan.
Michel Ohayon: the creation of an empire
“I met him by chance in 1992. He wanted to do a major project in the center of Bordeaux. I then tell myself that I have before me an attractive and ambitious man.” This is how Michel Ohayon is described by one of his faithful collaborators, Michel Pétuaud-Létang, in the columns of France Blue. Once established with his fifteen boutiques, Michel Ohayon began to invest in real estate, notably in Toulouse, Paris, Marseille and many other places. He bought several luxury hotels. He also ventured into higher education by creating business schools with one of his sons. In all, the Bordeaux Real Estate Financière, its holding company, will have at its peak more than 150 companies owned by Michel Ohayon, himself or members of his family.
Michel Ohayon: one of the biggest fortunes in France
Michel Ohayon is a professional success and a personal success. And for good reason, in 2022, according to Challenges, he will become the 104 biggest fortune in all of France. His assets are then estimated at more than a billion euros. But once at the top, you can quickly come back down…
Michel Ohayon: the buyout specialist for a symbolic €1
Lately, Michel Ohayon has been in the news. In question, all his acquisitions of companies in difficulty such as Camaïeu, Gap, Go Sport and many others which he brings together under the same company: Hermione People and Brands. Because his specialty is simple: buying these brands in difficulty for the modest sum of a symbolic euro. The least we can say is that he has even become an expert on the subject. To convince the commercial court, Michel Ohayon has a well-established technique. He promises to keep all employees employed and to invest in his brands to turn things around. For example, this is what he announced for Camaïeu. But, unfortunately for him and the thousands of employees of his brands, in the business world, everything does not always go as planned.
The end of a success story?
Indeed, if Camaïeu will experience some changes such as its logo and renovated stores, this will not be enough to redress the situation. In the summer of 2022, the situation is more than critical, there is not enough money to pay salaries. Employees will then look into the company’s accounts. And hop, surprise! 26 million euros would have evaporated according to the words of the CGT lawyer at Camaïeu, Fiodor Rilov. In September, Camaïeu was liquidated and nearly 2,600 employees found themselves unemployed. Since then, the Bordeaux Real Estate Financière has declared itself insolvent, the GAP brand, which has 350 employees and recently bought by Go Sport, has been placed in receivership and 25 Galeries Lafayette stores have been placed in safeguard procedure.
Michel Ohayon is now nicknamed “the gravedigger”, three luxury hotels belonging to the rich French entrepreneur have been placed in receivership. The businessman is also linked to a real estate scandal in Marseille. Its real estate holding company sold around a hundred homes off plan in 2016. Problem? They have never been delivered since while the developers put pressure on several purchasing families to pay up to 90% of the price of the property.
After having experienced success, Michel Ohayon now tastes defeat. But how far will the latter go?
