Italy’s top insurer Generali suspends rival CEO candidate amid ongoing leadership battle

Generali has suspended its head of Austria and Central and Eastern Europe (CEE) who had been put forward by one of its major investors as a rival candidate for the role of chief executive officer in a challenge to the reappointment to Philippe Donnet.

The top Italian insurer has been embroiled in a boardroom battle with its major shareholders for quite some time over nominating Donnet for a third mandate as CEO ahead of a shareholder vote.

The group said late Wednesday (March 23) that it has “suspended Luciano Cirinà, Austria & CEE (ACEE) regional officer, with immediate effect and until further notice”. Generali did not specify a reason for the suspension.

Giovanni Liverani, CEO of Generali Deutschland, will take over Cirinà's responsibilities on an interim basis.

Francesco Caltagirone and fellow billionaire Leonardo Del Vecchio, who are among Generali's top three investors, proposed Cirinà as next CEO of the insurer, replacing Donnet who has held the role since 2016.

Generali has been hit with a slew of prominent resignations in the past few months, including former board director Caltagirone, independent directors Sabrina Pucci and Romolo Bardin.

In February, Generali’s chairman decided to step down after more than a decade expressing his “regret” over the current tensions between investors. Gabriele Galateri di Genola has withdrawn his name from consideration for the upcoming board renewal, and step down as chairman of Generali in April.

Announcing Cirinà’s suspension, Generali stated: “During the period of suspension all statutory or contractual obligations relating to his Employment Relationship remain fully valid such as all responsibilities related to the protection of confidential company information, continued compliance with all internal rules and policies including rules defining relations with the media, financial analysts, rating agencies, investors and authorities, which are to be exclusively managed by specifically designated functions within the Company.”

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