111 Material RPTs

According to the relevant rules of CONSOB Regulation, material RPTs have been reported since 2011 by Italian listed companies. Overall such transactions amount to 670 (41 in 2021 and on average 61 per year), mostly entered into by small-sized companies (Tab. 4.1 and Tab. 4.2). Based on the nature of the resource transferred to/from the related party, material RPTs have been categorized according to the tunneling taxonomy developed by Atanasov et al. (2008), namely asset, cash flow and equity (for further detail, see Methodological notes). Most material RPTs reported since 2011 entail the transfer of a portion of companies’

cash flow, such as financing or other contracts (51.5% of the total; 43.9% in 2021).

The transfer of major long-term assets concerns 31% of all RPTs while changes in the related party’s ownership claims over the firm’s equity, in consequence of mergers or reserved capital increase, concerns 17.5% of all transactions (about 27% of those entered into in 2021). The related counterparty is in nearly 83% of cases the controlling or major shareholder, while in

fewer cases the transaction is entered into with subsidiary or associate companies (12.5% of all RPTs) and non-shareholder directors or key managers or firms affiliated with them (4.6% of RPTs;

Tab. 4.3).

Material RPTs in the ordinary course of business

Since 2011, listed companies have entered into 264 material arm’s length RPTs in the ordinary course of business (29 in 2021 and on average 24 per year). According to the relevant rules set forth by CONSOB Regulation, disclosure obligations can be waived for such transactions provided they are reported to CONSOB. Most material RPTs in the ordinary course of business have been reported by large firms included in the Ftse Mib (amounting to 136 RPTs), and across every industry (Tab. 4.4 and Tab. 4.5). The majority of such transactions are connected with the operating activities of the listed companies, namely the supply of typical goods and services for non-financial firms and financing contracts for banks accounting for, respectively, 34.5% and 28.7% of all reported material RPTs in the ordinary course of business. Other material RPTs in the ordinary course of business relate to funding activities of/by non-financial firms that are closely related to the operating activities (overall accounting for 35.2% of total transactions and 55.2%

of those reported in 2021). As for the counterparty, overall 87.9% of such RPTs have been entered into with controlling or major shareholders; Tab. 4.6).

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112

Elenco delle tavole

4.1 OPC di maggiore rilevanza delle società quotate italiane per indice di mercato 114 4.2 OPC di maggiore rilevanza delle società quotate italiane per settore di attività 114 4.3 OPC di maggiore rilevanza delle società quotate italiane secondo la tunneling

taxonomy 114

4.4 OPC di maggiore rilevanza ordinarie e a condizioni di mercato oggetto di esenzione

per indice di mercato 115

4.5 OPC di maggiore rilevanza ordinarie e a condizioni di mercato oggetto di esenzione

per settore di attività 115

4.6 OPC di maggiore rilevanza ordinarie e a condizioni di mercato oggetto di esenzione

per tipologia di operazione e controparte 116

RELATED PARTY TRANSACTIONS

113

List of tables

4.1 Material RPTs by Italian listed companies by market index 114

4.2 Material RPTs by Italian listed companies by industry 114 4.3 Material RPTs by Italian listed companies by tunneling taxonomy 114 4.4 Material RPTs in the ordinary course of business subject to exemption by

market index 115

4.5 Material RPTs in the ordinary course of business subject to exemption by

industry 115

4.6 Material RPTs in the ordinary course of business subject to exemption by

type of transaction and counterparty 116

CONSOB Report 2021 on corporate governance of Italian listed companies

114

Tab. 4.1

 OPC di maggiore rilevanza delle società quotate italiane per indice di mercato

 Material RPTs by Italian listed companies by market index

Tab. 4.2

 OPC di maggiore rilevanza delle società quotate italiane per settore di attività

 Material RPTs by Italian listed companies by industry

Tab. 4.3

 OPC di maggiore rilevanza delle società quotate italiane secondo la tunneling taxonomy

 Material RPTs by Italian listed companies by tunneling taxonomy

2011 2019 2020 2021 2011-2021

Ftse Mib 6 6 3 4 58 Ftse Mib

Mid Cap 13 3 9 11 100 Mid Cap

Star 9 6 15 5 90 Star

altro 52 42 28 21 422 other

totale 80 57 55 41 670 total

2011 2019 2020 2021 2011-2021

finanziario 39 19 16 19 277 financial

industriale 24 23 23 21 223 industrial

servizi 17 15 16 1 170 services

totale 80 57 55 41 670 total

oggetto

(% sul totale) 2011 2019 2020 2021 2011-2021 object

(% on total)

attività 25.0 35.1 36.4 29.3 31.0 assets

flussi di cassa 56.3 40.4 49.1 43.9 51.5 cash flow

capitale 18.8 24.6 14.5 26.8 17.5 equity

totale 100.0 100.0 100.0 100.0 100.0 total

- Cont. -

RELATED PARTY TRANSACTIONS

115

Cont. Tab. 4.3

Tab. 4.4

 OPC di maggiore rilevanza ordinarie e a condizioni di mercato oggetto di esenzione per indice di mercato

 Material RPTs in the ordinary course of business subject to exemption by market index

Tab. 4.5

 OPC di maggiore rilevanza ordinarie e a condizioni di mercato oggetto di esenzione per settore di attività

 Material RPTs in the ordinary course of business subject to exemption by industry controparte

(% sul totale) 2011 2019 2020 2021 2011-2021 counterparty

(% on total) azionista di controllo/riferimento 75.0 77.2 87.3 90.2 82.8 controlling or major shareholder società controllata o collegata 17.5 15.8 7.3 9.8 12.5 subsidiary or associate company

amministratore 7.5 7.0 5.5 -- 4.6 director

totale 100.0 100.0 100.0 100.0 100.0 total

2011 2019 2020 2021 2011-2021

Ftse Mib 14 8 3 8 136 Ftse Mib

Mid Cap 4 1 1 3 43 Mid Cap

Star 1 -- 6 1 23 Star

altro 19 8 2 17 62 other

totale 38 17 12 29 264 total

2011 2019 2020 2021 2011-2021

finanziario 9 8 -- 5 80 financial

industriale 13 6 2 12 95 industrial

servizi 16 3 10 12 89 services

totale 38 17 12 29 264 total

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116

Tab. 4.6

 OPC di maggiore rilevanza ordinarie e a condizioni di mercato oggetto di esenzione per tipologia di operazione e controparte

 Material RPTs in the ordinary course of business subject to exemption by type of transaction and counterparty

oggetto (% sul totale)

2011 2019 2020 2021 2011-2021 object

(% on total) fornitura di beni/servizi 50.0 41.2 25.0 31.0 34.8 supply of goods and services finanziamento di società bancarie 23.7 47.1 -- 13.8 28.4 financing/financial services by banks finanziamento di altre società 26.3 11.8 75.0 55.2 35.2 financing by other companies

altri trasferimenti -- -- -- -- 1.5 other transfers

totale 100.0 100.0 100.0 100.0 100.0 total

controparte

(% sul totale) 2011 2019 2020 2021 2011-2021 counterparty

(% on total) azionista di controllo/riferimento 86.8 94.1 100.0 82.8 87.9 controlling or major shareholder società controllata o collegata 2.6 5.9 -- 17.2 9.1 subsidiary or associate company

amministratore 10.5 -- -- -- 3.0 director

totale 100.0 100.0 100.0 100.0 100.0 total

RELATED PARTY TRANSACTIONS

117

118