Paolucci “Tim must grow by involving Cdp, Vivendi and KKr”

MILAN – Umberto Paolucci, for 25 years at the top of Microsoft is the leader of the fund’s list Merlynwhich challenges the Tim’s management list led by Pietro Labriola and is a candidate to act as a bridge between all the contenders.

Why does Engineer Paolucci lead the list that goes against Tim’s management and the president of CDP?

«I’m not going against anyone. I am only in favor of our country. I embraced Stefano Siragusa’s project to make a contribution to Tim for the benefit of Italy. I have nothing against the outgoing Board of Directors, where there are people I have known and respected for years. We simply have a different vision for Tim in the interests of the shareholders who must be involved according to a correct engagement process. Starting with CDP and Vivendi, the largest shareholder, but involving everyone, including KKR. We will involve employees and unions, the first allies in building a renewed climate based on sharing the values ​​of a large company like Tim. Respect, responsibility, ethics, inclusion, strength and not fear of change and innovation.”

But for the unions, the Merlyn plan sells Tim’s various businesses piecemeal, to create financial value, but not for the company or for the country…

«Merlyn is among our supporters, but the plan is called TValue. We thank Alessandro Barnaba for investing, but there are no representatives of him in our list. TValue is an industrial plan that creates value thanks to the generation of cash flows to grow and invest, guarantee employment, solve the debt problem, without selling out or making “stews” and, above all, involving all members. There sale of Brazil and the retail business is a necessary industrial choice to invest where there are competitive advantages and exit businesses that have fewer. The TValue plan offers Tim a future of growth even if the NetCo deal is not finalized, because it allows create TechCo, which will be the protagonist of the country’s digital transformationthe fulcrum of an innovation strategy that should have already been implemented with determination.”

What objectives does TechCo have?

«TechCo, the new Telecom Italia, it will be an Italian company with global ambitions that will integrate the network with the skills of Tim Enterprise. It will be a Tech-Infra company that values ​​infrastructure, people’s know-how and customer relationships. TechCo will become the reference partner to support the Public Administration and Italian companies in their digital transformation journey. It will be the aggregation point in the ICT, Cloud, AI, enabling the company and the country to achieve the scale needed to compete in Europe. It will become a partner of large global companies and the reference for Italian vendors and system integrators. In 24 months the group will be repositioned and will have higher multiples than the Telcos. This is a sector that I know well, and thanks to TechCo I see great potential in the stock for the benefit of all shareholders who have been penalized so far.”

What can you tell me about NetCo, a plan in which the Mef also participates?

“ThereThe entry of the Mef into the network is a positive elementbut the numbers presented to the market demonstrate that theoperation needs to be improved. It’s not just us who say this. THEThe market rejected management’s plan: the stock lost 24% on the day of the presentation. A rare fact in the history of listed companies. The operation it must be inclusive, reopening the dialogue with all members. Needs to be reassuring, involving workers, unions, customers and suppliers. It must be solid to enable financial sustainability and industrial of SerCo, which is currently missing. It is necessary to think of a contingency plan in case the NetCo deal cannot be improved or is delayed by the Antitrust, as for Ita-Lufthansa. It is unacceptable that there is no alternative plan.”

And so we arrive at the sale of Brazil and Consumer…

«Tim Brasil is not strategic. It will be sold by 2024 to begin deleveraging independently of the NetCo deal but, above all, to invest in TechCo, protecting employment and investments in Italy. Tim Consumer will be sold in 2025 to a multiple in line with recognized assessments by Swisscom for Vodafone, much higher than what the market estimates. Its brand combined with TValue’s clear strategy will make it the main digital platform in Italy.”

How do you plan to convince Vivendi to vote for you?

«Vivendi is the largest shareholder. He declared himself to be a financial investor, not interested in management, but in compliance with governance rules and to enhancement of the title. The dissatisfaction with the methodological choices, rather than the merit ones, is well known Board of directors which led to a dispute which, for us, could have been avoided. TValue wants to rebuild a relationship of trust with shareholders, through transparent governance that respects everyone, a prerequisite for realizing a strong appreciation of the stock. On these bases we hope to convince Vivendi to trust usto implement together and in agreement with the institutions the TValue project which is the industrial solution that TIM and the country need, in the interests of all shareholders and workers”.