Generali's appointments committee backs keeping Donnet as CEO -sources (updated)

Caltagirone SpA

24/09/2021 16:37

(Recasts with comments by sources, adds company background,
details on shareholders)
    MILAN, Sept 24 (Reuters) - Generali's  GASI.MI  appointments
committee recommended that the board finalise a slate of
nominees for its renewal keeping Philippe Donnet as CEO for
another term, three sources close to the situation told Reuters
on Friday.
    Generali's board meets on Monday to discuss whether to
submit its own slate of nominees, including Donnet, ahead of a
general meeting next spring to name new directors. Donnet has
come under pressure from some major shareholders who are
critical of his strategy.   
    The resolution of the appointments committee, which came at
a meeting attended by representatives of Generali's main
shareholders, was taken by a majority vote, the sources added.
One of the sources said there were four votes in favor of Donnet
out of seven.
    Construction magnate Francesco Gaetano Caltagirone, eyewear
billionaire Leonardo Del Vecchio and charity organization
Fondazione CRT, who control a combined 12.5% of Generali, in
recent weeks struck a shareholder pact to consult over decisions
concerning Generali.
    Caltagirone, 78, and Del Vecchio, 86, consider Donnet's M&A
strategy insufficiently ambitious and want to replace him,
sources have previously said. 
    Donnet has the backing of Alberto Nagel, CEO of Mediobanca
 MDBI.MI , Italy's top investment bank and the main Generali
investor, with 17% of voting rights. 
    In a move that could potentially give them more clout over
Generali, both Del Vecchio and Caltagirone have built stakes in
Mediobanca.
    If Generali's board decides on Monday to submit its own
slate of nominees which includes Donnet as CEO, the two tycoons
are ready to file a separate list with an alternative CEO
candidate, sources said earlier this month.  urn:newsml:reuters.com:*:nL1N2QJ1PS
    Italy's Benetton family, which owns 4% of Generali but has
no representatives on its board, has yet to take sides. Del
Vecchio and Caltagirone will also have to contend with
institutional investors, which own around 40% of Generali,
Europe's third-largest insurer.
    

 (Reporting by Gianluca Semeraro and Claudia Cristoferi in Milan
Editing by Kirsten Donovan and Matthew Lewis)
 ((gianluca.semeraro@tr.com; +39 06 80 307 741;))