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EL - EssilorLuxottica SA News Story

€137.1 0.8  0.6%

Last Trade - 09/04/21

Sector
Consumer Cyclicals
Size
Large Cap
Market Cap £52.06bn
Enterprise Value £55.14bn
Revenue £12.52bn
Position in Universe 19th / 848

EssilorLuxottica expected to keep Milleri as CEO in new board - sources

Fri 5th March, 2021 5:39pm
MILAN, March 5 (Reuters) - EssilorLuxottica  ESLX.PA  is
likely to retain Francesco Milleri as chief executive when it
appoints a new board this year, two sources close to the matter
said on Friday, in a move that would  cement the influence of
top investor Leonardo Del Vecchio.
    Milleri, 62, is a long-time associate of Del Vecchio and
played a big part in the negotiations that led to the 46-billion
euro ($55 billion) merger between Ray-Ban owner Luxottica and
French lens manufacturer Essilor three years ago.
    Confirming reports in the Italian press, one of the sources
said Luxottica's founder Del Vecchio, 85, was expected to
continue as chairman with Milleri remaining CEO.
    The Franco-Italian merger of Essilor and Luxottica has been
marred by tensions over governance, with both sides trading
barbs over who was trying to dominate the company.
    Milleri's appointment in December had been expected to be
temporary until a shareholder meeting this year.  urn:newsml:reuters.com:*:nL1N2IX329
    But Del Vecchio and Milleri are the first two names on the
list of board nominees that the company's outgoing directors put
forward last week.  urn:newsml:reuters.com:*:nP6N2K801Y
    The first two names on the slate are traditionally reserved
for the chairman and the chief executive.
    The third name on the list is Paul du Saillant, who already
works with Milleri as deputy CEO and will probably keep his
current role, according to one of the sources.
    Shareholders will vote on the slate of nominees in May or
June and the new board will then proceed with the appointments.
    "Until then nothing is definite or official," one of the
sources said. 
    EssilorLuxottica had initially set the end of 2020 as the
deadline for finding a new CEO who was expected to be a
compromise candidate to appease both sides.
    However, last December, Milleri and Essilor executive Du
Saillant were appointed, respectively, CEO and deputy CEO while 
Chairmen Del Vecchio and Hubert Sagnieres, who had shared equal
powers, relinquished their executive functions. 
    Del Vecchio, a renowned figure in Italian capitalism, is the
single largest investor in EssilorLuxottica with a 32% stake.
    Milleri started out as a provider of IT services to
Luxottica, earning Del Vecchio's trust and becoming his closest
aide. He joined Luxottica's board in 2016 as deputy chairman and
was appointed CEO in 2017.  
    ($1 = 0.8396 euros)

 (Reporting by Claudia Cristoferi. Editing by Keith Weir and
Mark Potter)
 ((Claudia.Cristoferi@thomsonreuters.com; +39 3480848422;))
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