Telecom Italia, owner of TIM in Brazil, has dismissed its global presidency, Israel Amos Genish, after a major collapse between its major shareholders, France's Vivendi and American financing Elliott. According to the Estonian de S. Paulo newspaper, Genish said the two partners took months in the strategic directions for the Italian operator.
"Unlike Elliott, who advocates the sale of various parts of the company, the company has a long-term strategy for growth in markets where the company sees potential for expansion," he said.
Gen's output broke down yesterday's shares. Its shares fell 4.55% to $ 11.33, the second largest downturn in Ibovespa. The analysts in Itau BBA evaluated the news negative for TIM, because Genish had a deep knowledge of the Brazilian telecommunications industry and was very well evaluated by investors in the country.
In September 2017, Genish was promoted to the global chairman of the Italian operator after a successful career in Brazil with the support of the Italian operator, Vivendi.
Genish, the founder of Brazil's regional operator GVT, which was sold to Telefônica Vivo for $ 22 billion in 2014, was responsible for the Spanish companies in the country about two years later. He stopped being one of the main trusted men of the media company Vivendi's controller of Telecom Italia.
Genish, who is in charge of the restructuring of Telecom Italia, said that the disagreements among the shareholders were further strengthened in May when the American fund was able to elect two-thirds of Elliott's board of directors. "My resignation took place between the group's 5G and the preparation of the strategic growth plan for 2019-2021, which the Brazilian market expects to grow in Brazil," he said.
In a statement, Telecom Italia said it will meet next Sunday to appoint a new president, but has not detailed the departure of the Gene on a business trip at the time of the resignation. ”The game is not over yet,“ he said.
TIM, the country's third largest operator, continues with expansion plans in the country, according to sources close to the company. According to sources announced by the group, the real-time news service Broadcast of Grupo Estado, TIM received a green light from the Italian group last week to make a non-binding offer by US group NII Holdings. The operator was also named as one of the potential investors of the Oi within the context of judicial restructuring.
For Ganja, at least three names were designated as substitutes. Among them are former FiatChrysler executive Alfredo Altavilla, who is currently an independent director on the Telecom Italia board. Luigi Gubitosi, who previously led Wind's telecommunications business in Italy and is also a member of the group's board of directors, and Stefano De Angelis, former vice president of TIM, are among the candidates, according to sources announced by Reuters.
"We condemn the instability and embarrassing methods behind this decision. We reserve all our rights to defend the interests of all shareholders," a Vivendi spokesman said. Said. He denied Vivendi's previous dialogue initiatives. "We are open and open to dialogue," a fund spokesman said. Information from the newspaper S. Paulo State with Reuters