Confrontation over French firms's involvement
With a mass resignation on the board at Telecom Italia, the company's vote on board makeup will be delayed to May 4 from a previously scheduled April 24.
That comes after a partial victory by Elliott Management and Paul Singer, which said it would press to remove directors backed by France's Vivendi, TI's top shareholder with a 24% stake.
Arnaud de Puyfontaine and six other directors backed by Vincent Bollore and Vivendi resigned from the board today, putting in motion a contentious month between Bollore and Singer. Italia law dictates that a board is dissolved if a majority resigns; then each side can present a slate of at least 10 for the 15-member board.
The side that wins the shareholder vote will be granted two-thirds of the seats, with the other third going to candidates from the opposing slate.
While a partial victory for Elliott, the extra time before the vote could give Vivendi time to regroup.
