MILAN, Italy, April 6 (UPI) -- Telecom Italia SpA Chairman Guido Rossi resigned Friday, effective immediately, the company said in a one-sentence statement.
His resignation came two days after the company's largest shareholder, Olimpia SpA, said it no longer supported Rossi and left his name off a list of proposed board nominees ahead of an April 16 shareholder vote.
Olimpia is a holding company set up by Pirelli & Co. SpA and Italy's Benetton family to control Telecom Italia. Pirelli is known to U.S. consumers for its tires. The Benetton family started the upmarket clothing retailer Benetton Group SpA.
Pirelli said Sunday it had begun talks to sell 66 percent of its 18 percent stake in Olimpia to AT&T Inc. and AT&T affiliate Mexican wireless company America Movil SA de CV.
The Italian government, concerned foreign companies would become Telecom Italia's two largest shareholders, sought alternative solutions.
Intesa Sanpaolo SpA, a new banking company resulting from the merger between Banca Intesa SpA and Gruppo Sanpaolo IMI, said it was ready to team with other financial institutions to keep the company in Italian hands, The Wall Street Journal reported.
It did not rule out a partnership with AT&T and America Movil, the Journal said.
