Telecom Italia shares are lower Tuesday, as existing CEO Amos Genish was re-appointed to the role by the new Board of Directors. Fulvio Conti was also appointed Chairman of the Board at a Monday meeting.
Vivendi, who owns a controlling stake in the firm, issued a separate statement supporting Genish and reaffirming its commitment to the Telecom Italia turnaround plan.
By 1240 BST Telecom Italia shares were trading 2.20% in negative territory at €0.84. As more interest has been taken in the company’s turnaround plan, the stock has moved mainly higher over the course of 2018 so far.
Key Telecom Italia decisions
After a highly contentious shareholder vote for a new Board last week, the newly appointed Board for the Italian business – which consists of the ten candidates put forward by Elliott Management and just five of Vivendi’s nominees – made some key decisions at its first meeting Monday.
One of the first decisions was to formally re-appoint existing CEO Genish into the role.
“I confirm my long-term commitment to the transformation of the Group, which aims to reaffirm TIM’s position as an international best in class business,” Genish said.
“The complete support of the new Board enables us to continue implementing the DigiTIM strategy, which is already bearing fruit and delivering the value TIM is capable of creating,” he added.
Genish is considered to be close to Vivendi, but also respected by the Elliott Management team who led the push to vote in a new, independent Board.
Vivendi confirms Genish support
Vivendi confirmed its own support of Genish as Telecom Italia’s CEO. The French media giant also re-stated its commitment to the current turnaround plan for the Italian telecoms company.
“Vivendi is pleased that the Board of Directors, during its meeting today, appointed Amos Genish CEO of Telecom Italia,” the French firm aid in a press release.
“Vivendi totally supports the 2018-2020 industrial plan announced by Amos Genish on March 12, 2018 unanimously approved by the Board. The Group will carefully pay attention to the fact that the plan is coherently implemented in its entirety,” Vivendi said.