STMicroelectronics: tensions on the line with Rome?

(Boursier.com) — The government of Giorgia Meloni is stepping up to the plate. Considering his country abandoned by STMicroelectronics, Rome would demand that a greater share of the investments made by the chipmaker go to Italy. In addition, Rome, which holds an identical stake to Paris in the semiconductor specialist, would be opposed to a new three-year mandate for Jean-Marc Chery at the head of the group, according to people familiar with the matter cited by ‘Bloomberg ‘.

The Italian and French governments each own 50% of a holding company which itself owns a 27.5% stake in the chipmaker, through the Italian finance ministry and Bpifrance.

Among other sticking points, Italy is reportedly unhappy with Jean-Marc Chery’s recent decision to change the company’s structure from three to two business units, according to a person familiar with the matter cited by the agency. The automotive division that was eliminated was primarily run by Italians, including top executive Marco Monti who has since left the company. The move reinforced the general impression that the STM boss, whose current term expires later this year, is prioritizing the French and opposing Italian efforts to have more say in global decision-making. .

An STMicro spokesperson told ‘Bloomberg’ that the company had taken note of what he called recent media speculation regarding its management, adding that its board had taken no further action on the matter. since he proposed the renewal of JM.Chery in September.

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With a market capitalization exceeding 40 billion euros, the Franco-Italian chipmaker is one of the few European companies of global importance in the strategic semiconductor sector. It specializes in semiconductors used in the smartphone and electric car industry, among other sectors, counting Apple and Tesla among its clients.

Since G. Meloni came to power, Rome has intensified its discourse and its actions concerning the acquisition of local companies, considered dominant, by French companies. The agency recalls that the manager notably fought in January against Stellantis, which owns Italian brands such as Fiat and Alfa Romeo, for its efforts to move its automobile production to lower-cost countries. In November, G. Meloni vetoed Safran’s takeover of a local aerospace company. Safran said last month that it was still “in dialogue” with Italian authorities on its takeover plan.