CDP Takes Legal Action to Freeze Milan Bourse CEO Reappointment

Italian state lender CDP has filed a lawsuit in Amsterdam to block the reappointment of Fabrizio Testa as CEO of Borsa Italiana, citing governance rights under 2020 agreements and urging Euronext to consider alternative candidates. CDP Seeks Court Ruling to Freeze Milan Stock Exchange CEO Reappointment CDP Challenges Euronext Over Borsa Italiana Leadership By Giuseppe Fonte Background and Stakeholder Positions ROME, March 23 (Reuters) - Italian state lender Cassa Depositi e Prestiti (CDP) has gone to court in Amsterdam to freeze the reappointment of Fabrizio Testa as CEO of the Milan Stock Exchange, two sources familiar with the matter told Reuters on Monday. CDP holds a 8.1% stake in pan-European exchange operator Euronext, which owns the Milan Stock Exchange, also known as Borsa Italiana. Testa's Tenure and Expected Reappointment Testa has been at the helm of Borsa Italiana since 2021 and is expected to be reappointed ahead of an upcoming Euronext shareholder meeting scheduled for May 20. CDP's Demands and Government Concerns CDP wants Euronext to consider alternative candidates to Testa and to conduct a proper search process, the sources said, asking not to be named due to the sensitivity of the matter. Its court case comes amid concerns in Italian government circles that Euronext could scale back its Italian operations and favour listings in France or other markets. Both Euronext and CDP declined to comment. Legal Proceedings and Timeline A first hearing of the case in Amsterdam, where Euronext has its registered office, is scheduled for March 27, while the court is expected to issue an interim ruling on whether to accept or reject CDP's request around April 11, the sources added. Euronext's Position and Testa's Performance Euronext CEO Stéphane Boujnah said in February that Testa was on course to secure a new term, praising him for his "unprecedented results" in recent years. Borsa Italiana's Financial Growth Borsa Italiana's revenue grew by 57% over the five-year period ending in 2025. Euronext's Acquisition and Shareholder Structure Euronext - which operates the Amsterdam, Brussels, Dublin, Lisbon, Milan, Oslo and Athens and Paris exchanges - completed its acquisition of Borsa Italiana in 2021 from London Stock Exchange Group. The 4.3-billion-euro deal made Italy one of Euronext's biggest trading venues and a key revenue driver. Major Shareholders Italy's largest bank Intesa Sanpaolo owns a 1.55% stake in Euronext, while France's Caisse des Depots holds an 8.1% stake, the same as CDP.