Tag Archives: Management Problems / Policies

Brazilian energy firm Cemig fired five executives under investigation | Instant News


SAO PAULO, January 12 (Reuters) – Brazil’s Minas Gerais state-controlled energy company Cemig fired five executives that are being investigated by state prosecutors, the company said on Tuesday.

Cemig said the investigation was closed and did not say why the executives were being investigated. It added in a statement that they were removed as a precaution.

The company confirmed supply and logistics supervisor Paulo Vanelli had been removed. Neither Vanelli nor the other executives could immediately be reached for comment.

As many as 15 employees have lost their positions, three people with knowledge of the matter said, asking not to be named because the information is not public.

Executives from the law and communications departments were also removed from their posts, said a third person. (Reporting by Luciano Costa Writing by Sabrina Valle; Editing by David Gregorio)

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UPDATE 1-Vivendi filed a formal complaint with the EU against Italian media sources of law | Instant News


(Added investigation to start December 14th, case details)

MILAN, December 11 (Reuters) – French media group Vivendi has filed a formal complaint with the European Commission against Italian legislation that could potentially curb its interests in the country, three sources said Friday, a sign of growing tensions with the government.

Last month Italy approved a stop-gap law requiring communications watchdog AGCOM to initiate an investigation into Italian assets Vivendi, which will last up to six months.

The investigation will begin on December 14, the board agenda at the regulator showed on Friday.

Vivendi, controlled by billionaire Vincent Bollore, holds a 29% stake in Italian commercial broadcaster Mediaset and is also a top investor in the former telephony monopoly Telecom Italia (TIM) with 24% ownership.

Watchdogs will see whether Vivendi’s position in the Italian telecommunications and media sector is dangerous for the media plurality by looking at total revenues, barriers to entry and the level of competition in the sector.

The move could help Italian broadcaster Mediaset in a prolonged dispute with second-largest shareholder Vivendi, whose presence by the group, which is controlled by the family of former Prime Minister Silvio Berlusconi, is seen as hostile.

The French company was forced to transfer two-thirds of its voting rights in Mediaset to trust due to the 2017 AGCOM decision which found that Vivendi’s twin shares in TIM and Mediaset violated Italian law protecting media plurality.

The trust has been prevented from voting at the Mediaset shareholder meeting.

The freeze on voting stems from Italian rules that set market share thresholds to prevent excessive concentration of power in telecommunications and the media.

But the European Union’s top court ruled in September that this move violated the bloc’s rules.

Vivendi has asked the administrative court to overturn restrictions on his voting rights, with the case hearing set for December 16.

Legal sources said the existing restrictions could remain in place until the investigation was completed. (Reporting by Elvira Pollina in Milan and Giuseppe Fonte in Rome; editing by Grant McCool)

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Mustier’s exit complicates Italy’s efforts at an MPS deal with UniCredit | Instant News


* Italy rushes to find a bailed out MPS buyer

* The CEO of UniCredit will step down in April

* UniCredit is considered by Rome to be the ideal buyer for MPS

LONDON / MILAN, December 2 (Reuters) – The sudden resignation of Jean Pierre Mustier as chief executive of UniCredit complicates efforts by the Italian Ministry of Finance to prop up Monte dei Paschi (MPS), bringing merger negotiations to a halt and possible delays.

The Treasury is looking to find a solution to long-term problems at MPS by the end of January, one source told Reuters, and UniCredit’s strong balance sheet has led Rome to identify it as the best option to take over the loss-making bank. .

The Italian government had discussed the terms of a possible deal with Mustier, people with knowledge of the matter, before the French banker suddenly stepped out – a decision he said was made because the board no longer supported his plans.

Mustier, who opposes the merger and prefers to return cash to investors in a bid to raise UniCredit’s share price, is open to considering a deal that has almost no impact on the bank’s capital ratio, two people added.

Agreeing to a deal has now become more complicated as Mustier plans to step down in April or as soon as a successor is found.

Investors divested UniCredit shares following Mustier’s decision due to uncertainty over strategy at Italy’s No.2 bank and concerns that a takeover of MPS, of which Rome owns 68% of the stake after a bailout in 2017, is more likely.

In an effort to reassure investors, the UniCredit board said on Tuesday that they would never approve a deal that hurts the bank’s capital position.

MPS expects to breach the minimum capital threshold in the first quarter due to the cost of clearing bad debts recently settled and the provisions against legal risk.

Meanwhile, the bank’s pending lawsuits remain a major hurdle to a deal, said people involved in the process.

The director of UniCredit is concerned that it will worsen his risk profile by taking MPS, said three people familiar with the board’s thinking.

A focus of concern is the push by the co-ruling 5-Star Movement to limit tax advantages that the government plans to introduce to facilitate the merger.

In an effort to minimize disruption, UniCredit board and elected Chairman Pier Carlo Padoan, the former Italian economy minister who negotiated the MPS bailout with the EU, are looking for a new CEO with headhunter Spencer Stuart.

Relations between Mustier and the board of directors have deteriorated in recent months, insiders say, and speculation about a possible exit has swirled since he turned down the top job at HSBC earlier this year. (Additional reporting by Gianluca Semeraro and Andrea Mandala in Milan, Stefano Bernabei in Rome; written by Valentina Za; Editing by Alexander Smith)

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UPDATE 1-Italy’s Benettons appoints the chairman of a new holding company in a road dispute with the government | Instant News


(Add details, background)

ROME, November 22 (Reuters) – Italy’s Benetton family has ousted Gianni Mion as head of its parent company Edizione, replacing him with well-connected business professor Enrico Laghi, the company said on Sunday, while trying to resolve a long-running dispute. above its toll road unit.

The wealthy family, who own 30% of the Atlantia infrastructure group, have been embroiled in a feud with the Italian government since a bridge in Genoa run by highway operator Atlantia Autostrade per l’Italia collapsed in 2018, killing 43 people.

Laghi will oversee Edizione in relation to the companies he invests in including Atlantia – which controls Autostrade – Autogrill, and others.

His appointment will be formally approved by Edizione’s shareholder meeting on November 30, the company said in a statement.

Mion was reappointed last July to serve a three-year term as chairman of Edizione, but relations between the family and their veteran advisers have soured as negotiations with the government over the future of the Autostrade have struggled to make progress.

Rome has threatened to revoke Autostrade’s license since the bridge disaster and has put the Benettons under pressure to sell their stake in the unit to make room for state-backed investor Cassa Depositi e Prestiti (CDP).

Laghi, who was once a temporary administrator for ailing national airline Alitalia and has strong ties to the CDP, could help broker the deal, sources told Reuters on Saturday.

Talks between Atlantia and a consortium of investors led by the CDP have dragged on for weeks, and got complicated this month when former Atlantia and Autostrade chief Giovanni Castellucci was placed under house arrest during an investigation into the Genoa disaster. (Reporting by Gavin Jones, editing by Francesca Landini and Barbara Lewis)

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UBS is not looking for partners – the chairman told NZZ am Sonntag | Instant News


ZURICH, November 15 (Reuters) – UBS is not looking for partners, said Swiss bank chairman Axel Weber in an interview with Swiss newspaper NZZ am Sonntag.

The chairmanship of two of Switzerland’s biggest banks, UBS and Credit Suisse, had supported the merger as it was during discussions reported by Swiss media earlier this year.

Despite being kept secret, the merger has been seriously considered, receiving support from Weber and Credit Suisse Chairman Urs Rohner. But a deal is now deemed impossible.

Weber played down the possibility of a merger in an interview with NZZ am Sonntag.

“As chairman of two major banks that are systemically important, Urs Rohner and I routinely discuss many topics, such as regulations,” he said in an article published on Sunday.

“But UBS is not looking for partners – we are strong enough to shape our own future,” he said.

Weber also said UBS will likely seek a deal in the future.

“Of course we are not explicitly ruling out a takeover that makes sense for our global business model,” said Weber.

The search for a replacement to work with newly appointed Chief Executive Ralph Hamers will begin in 2021, he added.

“The plan is to be able to announce the next chairman in time for the 2022 AGM,” said Weber. “I firmly believe that the new leadership team makes sense for the next decade.” (Reporting by John Revill. Edited by Jane Merriman)

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