Italian tycoons break up Generali pact to avoid regulatory scrutiny (updated)

Caltagirone SpA

28/01/2022 18:41

(Adds details, changes headline)
    MILAN, Jan 28 (Reuters) - Francesco Gaetano Caltagirone has
quit a pact with fellow Generali  GASI.MI  investor Leonardo Del
Vecchio which the two Italian magnates had struck to challenge
the insurer's top shareholder Mediobanca, a letter seen by
Reuters showed.
    Two sources close to the matter said Caltagirone's move did
not stem from disagreements with fellow pact members but was
intended to prevent regulators from saying the pact was not a
mere consultation accord.     
    Caltagirone and Del Vecchio are, respectively, Generali's
second- and third-largest investor. Their agreement, which was
later joined by a third smaller Generali investor, related to a
combined stake of over 16% in Italy's leading insurer.
    Caltagirone, a construction and newspaper magnate, on
Thursday informed other members he had decided to leave the
consultation accord, the letter showed.
    He said in the document he would present a slate of
candidates for Generali's board, which comes up for renewal in
April, adding a joint list of board nominees had never been
among the pact's commitments. 
    Generali shareholders will be called to appoint a new board
on April 29.
    The insurer's outgoing board is drawing up a list of
nominees for its renewal with the backing of Mediobanca, which
owns 12.8% of Generali but has secured a temporary 17.2% voting
stake for the April meeting by borrowing shares.
    The Generali board's list includes current CEO Philippe
Donnet, which Caltagirone and Del Vecchio want to replace.
    

 (Reporting by Claudia Cristoferi, Gianluca Semeraro, Stefano
Bernabei and Andrea Mandalà; Writing by Giulio Piovaccari;
Editing by Valentina Za)
 ((giulio.piovaccari@thomsonreuters.com))