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Telecom Italia chairman Conti expected to resign: sources

Kitco News

MILAN/ROME (Reuters) - The chairman of Telecom Italia (TIM) (TLIT.MI), Fulvio Conti, is expected to resign in a move that signals an easing of tensions between the phone company’s main shareholders, two sources close to the matter said on Thursday.

Conti was appointed chairman of Telecom Italia (TIM) in May 2018 by U.S. activist fund Elliott, which controls two thirds of the 15-strong board.

He has since been embroiled in a dispute with French media group Vivendi (VIV.PA), which is TIM’s top investor with a 24 percent stake.

Conti’s resignation could be announced at a TIM board meeting scheduled for late September, one of the sources said.

The source said Conti’s exit would be a step forward toward a broader deal between the company’s leading shareholders, which include state holding Cassa Depositi e Prestiti (CDP) with a 10 percent stake, over governance at the group.

TIM was not immediately available for comment.

News that Conti was planning to resign was first reported by la Repubblica daily on Thursday.

Longer term, a truce between Vivendi and Elliott is expected to help the creation of a single network operator, a project backed by CDP which, however, has been one of the main bones of contention between Elliott and Vivendi.

Reporting by Elvira Pollina in Milan and Stefano Bernabei in Rome, editing by Valentina Za

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