Pirelli: Marco Tronchetti Provera increases his stake to 29.9 per cent

Pirelli’s control is being consolidated, whilst the new governance structure is now firmly in place. Marco Tronchetti Provera & C, Camfin, Camfin Alternative Assets and Longmarch Holding announce that, today, the acquisition by CAA of a 3.34% stake in Pirelli from a leading banking institution was finalised. Following this transaction, the chain of control headed by MTP SpA now holds a total stake of approximately 29.9 per cent in Pirelli, “thereby reinforcing the role of Camfin and MTP SpA as stable shareholders and reaffirming their confidence and commitment to supporting Pirelli’s industrial projects”. The acquisition, according to a statement, “was carried out in accordance with the resolutions passed by the companies’ Boards of Directors, as announced to the market on 2 October 2024, regarding authorisation to acquire shares up to a maximum total stake of 29.9 per cent of Pirelli’s share capital over the 24 months following the resolution”.

A shareholding restructuring that reinforces the Italian shareholders’ growth strategy to strengthen the group in the United States, where Pirelli will invest 1 billion. The investment plan will support Pirelli’s growth in the high-value segment in the US – the world’s largest market in this segment, accounting for around 40 per cent of global volumes – by strengthening the ‘local-for-local’ strategy, the resilience of the supply chain and meeting the growing demand for technologically advanced ‘Made in the USA’ products. Furthermore, the investment further consolidates the company’s long-term commitment to the country, where Pirelli has been present in the state of Georgia since 2002 and where it enjoys strong relationships with the government, local authorities and universities. The expansion project will be spread over several years starting in 2027 and will enable an increase in production capacity at the Rome plant, including Cyber Tyre technology. The project will have no impact on the 2026 targets, and the capital expenditure (capex)/revenue ratio for 2027–2033 is expected to remain broadly in line with previous periods, thereby preserving the Group’s cash generation. The Board of Directors has also approved a new organisational structure which provides for the abolition of the position of Corporate General Manager with immediate effect. Consequently, the employment contract with Corporate General Manager Francesco Tanzi has been terminated. However, in view of his expertise and knowledge of the Group acquired over the years, Tanzi will remain associated with the company under a two-year consultancy contract with an annual remuneration of €350,000 gross of statutory deductions, in addition to non-monetary benefits valued at approximately €45,000 gross.

Just a few hours ago, Pirelli’s board, following the statement by Marco Tronchetti Provera & C. regarding the continuation of its control over Pirelli, has instructed the Control, Risk and Corporate Governance Committee to initiate discussions with the parent company, with the support of relevant experts, to define the framework of the relationships arising from the control situation, including an analysis of the conditions for the possible establishment of group regulations, taking into account best governance practices adopted by listed companies, in accordance with the principles of transparency, efficiency and market protection, whilst preserving Pirelli’s legal and managerial autonomy.