US hedge fund wrests Telecom Italia control from Vivendi
ROZZANO, Italy (AP) — French media group Vivendi lost de facto control of Telecom Italia on Friday when a U.S. activist hedge fund won a majority of seats on the former state monopoly's board in a dramatic shareholders' showdown that also raised questions about the government's role.
Cheers went up among small stakeholders when Elliott Advisors' narrow 49.8 percent victory over Vivendi's 47.2 percent was announced. Elliott claims 10 seats, which it says it will fill with a cadre of well-known Italian businessmen, to Vivendi's five.
Despite losing the vote, Vivendi said they will fight any moves to separate the network infrastructure from Telecom Italia's services, as Elliott had previously advocated.