The deputy chairman of Telecom Italia (TIM), Giuseppe Recchi, has given up operational powers, according to two sources cited by Reuters. Although the two sources said Recchi would stay on the board, a third source said this was “subject to a discussion with the executive chairman and the board”. The news comes amid signs of turmoil at the company, which this week issued a statement denying reports that its CEO Amos Genish could leave.
One person said Recchi’s relationship with top shareholder Vivendi had soured after a series of disagreements, while three sources said he was leaving to pursue a new job opportunity and his decision had nothing to do with the French company. Italian papers Corriere della Sera and Il Sole 24 Ore reported that Recchi’s powers could be passed on to TIM’s former chairman and current lead independent director Franco Bernabe.
Recchi was TIM’s chairman from 2014 until June 2017, when he was replaced by Arnaud de Puyfontaine, who is also Vivendi’s chief executive. As deputy chairman, Recchi retained responsibility for international wholesale unit Sparkle, which the Italian government decreed must stay in the hands of an Italian as part of the so-called “golden power” ruling issued last year in a bid to scale back Vivendi's influence.
The sources also said TIM would lodge an appeal to Italy’s head of state against the “golden power” decree with a view to keeping options open for the company once the government responds to its proposals on how the decree could be implemented.
