- Activist Telecom Italia (TI +0.4%) 5% shareholder Marco Fossati, who has voiced concerns that Telefonica's aims do not align with those of shareholders, has won a helping hand from proxy advisor ISS. It has recommended institutional investors back a proposal to remove the company board at a Dec. 20 shareholder meeting.
- Proxy votes are estimated to exceed 9%, while institutional investors hold nearly 50% of the capital base.
- If the coup is successful, shareholders would have to elect a new slate of directors. Fossati's holding company, Findim, has backed a list of 7 new directors presented by Italian asset managers' association Assogestioni.
- Given Telefonica's opposition to the proposal, the board's fate is uncertain. Fossati vowed "We might not have the number of votes ... but we are committed ... This will not finish in December."
ISS takes activist investor's side in attempted Telecom Italia board ouster
Dec 4 2013, 13:51 ET