Mediaset has agreed a deal with its shareholders to scrap a loyalty share scheme as it confirms a ceasefire with Vivendi.
Announced earlier this month, the long-sparring companies have agreed to five years of hostilities stemming from a failed sale of Vivendi’s pay TV business. The firms have spent the past year litigating against one another, with Vivendi building up a hostile block of shares in Mediaset.
Now, the Italian group’s shareholders have agreed to ditch a loyalty share scheme as a sign of goodwill to Vivendi, which had challenged the scheme in court. All shareholders present at a virtual meeting backed the scrapping of the scheme.
An accord announced earlier this month will see Vivendi significantly reduce its 19% stake in Mediaset to 4.6%, while also backing a proposal to move the broadcaster’s base to the Netherlands. The plan to shift Mediaset’s headquarters to the Netherlands is a revival of a plan to set up a Dutch holding company which would enable it to better compete with US players like Netflix and Amazon.
The Dutch move will be voted on by shareholders on June 23, and is expected to pass.