Sinochem Completes €1bn Sale of Pirelli Stake to Czech Investor

China National Chemical Corp. (Sinochem) has completed the sale of a 14% stake in Pirelli & C. SpA to Czech investment firm Lumina Crown for €987 million. The deal involved the disposal of 151,883,471 ordinary shares at €6.50 per share. Lumina Crown, founded by entrepreneur Michal Strnad, has become Pirelli’s third-largest shareholder after MTP/Camfin (26.5%) and Sinochem (20%). The transaction follows a prolonged dispute among Pirelli’s main shareholders after the Italian government imposed restrictions on Sinochem under Italy’s ‘golden power’ legislation. The government action aimed to curb the influence of Chinese state-owned investor Sinochem, with Pirelli being considered a business of ‘strategic importance’ due to its ‘Cyber Tyre’ technology.