Pirelli, Silk Road and Sinochem partners do not renew shareholders' pact that expired at the end of September

The two investors Sinochem and Silk Road Fund, who have 37 percent and 9 percent of the capital respectively, had signed the pact in 2020. As part of the agreement, Silk Road Fund had pledged to follow Sinochem's votes at Pirelli shareholder meetings on certain issues for a 5 percent stake.

MILAN (Reuters) - In an announcement to be published tomorrow in a daily newspaper, Pirelli's Chinese shareholders announce the termination of the shareholders' agreement between Silk Road Fund and China National Tire & Rubber Corporation, which expired last Sept. 29.

Sinochem has a separate governance agreement with investor Camfin, the vehicle headed by Marco Tronchetti Provera, at the helm of Pirelli since 1992 currently serving as executive vice chairman.

Earlier this year, the government used so-called "golden power" legislation, which protects key national assets, to impose prescriptions on the proposed renewal of the governance pact between Sinochem and Camfin.

Rome's intervention strengthened Camfin's influence over Pirelli, despite holding a limited stake of 14.1 percent of the capital.

(Giulio Piovaccari, translated by Giancarlo Navach, editing Stefano Bernabei)