Camfin, the second largest investor in Milan-based Pirelli has increased its stake to 22.8% as China’s Silk Road Fund offloaded its 9% interest in the premium tyre maker.
Camfin, the vehicle of Italian businessman Marco Tronchetti Provera, has bought a 2.2% stake, strengthening its role as a stable shareholder and reiterating its commitment to supporting the group’s industrial projects.
Tronchetti Provera, who has led the tyre maker since 1992, is now the executive vice chairman.
Chinese state-owned conglomerate Sinochem Group remains Pirelli’s largest shareholder with a 37% stake.
The share sale, through an accelerated book building (ABB) procedure, by Silk Road Fund comes after the Italian government intervened last year to limit Sinochem’s influence over Pirelli.
Rome used its so-called “golden power” legislation that protects key national assets to modify an amended governance agreement between the two top shareholders, curbing Sinochem’s grip on the tyre maker and reiterating Camfin’s strategic lead.
Silk Road Fund recently completed the sale of its 90.2 million Pirelli shares at EUR5.76 each, valuing the entire stake at around EUR520 million, according to Reuters.