UniCredit's top shareholders take action over CEO

UniCredit's top investors, who represent 15% of the bank, have taken another step forward in pushing for CEO Federico Ghizzoni to be replaced by asking UniCredit's Chairman Giuseppe Vita to find ways to strengthen governance, according to reports. Ghizzoni is facing increased shareholder discontent over the bank's weak share price performance, stretched capital position and low profitability, when compared to its Italian rival, Intesa Sanpaolo. 

UniCredit top investors seek action on CEO, governance-sources

MILAN, May 17 (Reuters) - Major shareholders of UniCredit , Italy's biggest bank by assets, took a major step forward in pushing for the replacement of Chief Executive Federico Ghizzoni, asking the chairman to find ways to strengthen governance, sources said.

The shareholders, representing around 15 percent of the bank, met Chairman Giuseppe Vita on Monday and mandated him to come up with a plan in consultation with investors, including the option of Ghizzoni's departure, five sources close to the matter said.

Ghizzoni, who has headed UniCredit since 2010, has faced growing shareholder discontent over the bank's weak share price performance, stretched capital position and low profitability when compared to rival Intesa Sanpaolo.