In a dramatic turn of events, Czech billionaire Karel Komárek takes Ferretti to court over contested AGM results

Karel Komárek has decided to throw down the legal gauntlet to Ferretti, one of Italy’s prominent shipbuilders. His holding company, KKCG Maritime, which owns a 23 per cent stake in Ferretti, has pursued legal action at the Civil Court of Bologna, seeking to annul the resolutions approved at the company’s AGM held on 14th May. While waiting for the court to hear the case, KKCG Maritime is also requesting an emergency injunction to temporarily halt the company resolutions, which include the appointment of a Weichai-backed board and the installment of Stassi Anastassov as CEO. Any decisions made by the newly formed board could be suspended if the injunction is granted. Komárek’s case hangs on the claim that the Hong Kong-based Ferretti International Holding (FIH), through which Chinese state-controlled Weichai holds a 39.5 per cent stake in Ferretti, had its voting rights suspended under Italy’s Golden Power regime at the AGM. This contention rests on the claim that Weichai failed to meet disclosure requirements of its holding mandated by the Decree-Law 21 of 2012. If this claim is upheld, the investor argues that his candidate slate would have emerged victorious. The ongoing lawsuit brings the strategic-classification issue to the forefront for the first time. KKCG argues that Ferretti’s military-grade industrial capabilities and know-how extend beyond its in-house naval vessel manufacturing unit, Ferretti Security Division. Their influence could have clear security and defense significance, regardless of whether they operate within a defense-oriented division. Claims are also being made against FIH and Swiss-based AdTech Advanced Technologies, cornering them for alleged undisclosed shareholders agreements and concerted actions. The failure to disclose this arrangement, if established, could have regulatory consequences in Hong Kong where Ferretti maintains its primary listing. This boardroom battle has triggered a response from Ferretti, promising to safeguard its rights. It also assures stakeholders that the company remains fully operational amidst the legal turbulence. However, the firm has seemingly sidestepped engaging with the substance of the Golden Power or concerted-action claims directly. Unsurprisingly, the move by KKCG highlights the uncomfortable fact that the fusion of defense, business and politics often results in markets caught in the legal crossfire. The outcomes of this legal standoff hold potential for significant implications on the course of Ferretti’s future, the power dynamics in its boardroom, and indeed, the wider maritime industry.