Telecom Italia is facing opposition from investors regarding the offers it has received for its network assets from KKR. Some investors are calling for the removal of Chief Executive Pietro Labriola. In response to this, the company has confirmed that it has received communication from Merlyn Advisors and RN Capital Partner, and that these documents will be presented to the board of directors during their meeting on November 3.
Merlyn Advisors and RN Capital Partner have expressed their belief that Telecom Italia should retain the entirety of its network, which includes its Sparkle and FiberCop businesses. Additionally, they suggest that the company considers restructuring and selling its consumer arm, as well as selling its Brazilian business. They also recommended the removal of Labriola from the board.
Merlyn Partners, a fund managed by Merlyn Advisors, represents a group of Telecom Italia shareholders who own less than 3% of the company’s shares, according to an open letter published on Friday.
In defense of their position, Telecom Italia has emphasized that the sale of its NetCo business aligns with a plan that was previously approved unanimously by the board. The board will further discuss the offers made by KKR during their meetings on November 3 and 5.