Berlusconi’s death raises questions about the future of his empire

Berlusconi’s death raises questions about the future of his empire

The politician and magnate who shaped the last 30 years of Italian politics, was four times Prime Minister, ideologue of the center-right party “Forza Italia”, construction businessman, owner of the Fininvest mega group, president of the Milan club and after Monza, and founder of the Mediaset television empire that shaped the Italian national imagination in recent decades.

silvio berlusconi milan sports.jpg

His inheritance And now what will happen? This is the question that is circulating in public opinion and in “power” spheres, not only in Italy but also in Europe. Now without Berlusconi, the financial and political inheritance came into play. While the empire’s stock shares rose rapidly when the news of his death broke, hypnotizing a possible sale and reorganization of companies and properties and making their value soar on the Milan Stock Exchange, the question that is being heard at this time is… How much is Silvio Berlusconi’s financial inheritance? Without considering personal financial investments, around 2,000 million euros between the net worth of the companies (publishing, real estate, financial) directly controlled by him and real estate that he owns personally or through his companies, such as Villa San Martino in Arcore ( his main residence and where he is being watched over at these hours by his family until tomorrow he will be transferred to the Milan Duomo for the state funeral), the Macherio villa where his ex-wife Veronica Lario lived for a long time and the famous Villa Certosa in Sardinia, Berlusconi’s favorite destination during the summer months and where he received political leaders from all over the world, among the many moments shared with his controversial friend Vladimir Putin.

Silvio Berlusconi

Silvio Berlusconi.

Photo: EFE

The shareholdings of the children

The most delicate step will be the distribution of the capital of Fininvest, which is at the center of a business network that includes significant stakes in three listed companies, 53% of the Mondadori publishing house, 48% of Mfe television and 30% from Banca Mediolanum. In total, its value exceeds 2,900 million euros. Company that Berlusconi had already divided for some years 42.29% between his five children, starting with the eldest Marina and Pier Silvio, but also between Eleonora, Barbara and Luigi.

According to the Italian law of hereditary legitimacy, the father’s share must be divided equally among the five children. And everything would run smoothly if the five continue to get along as it seems to be until today. But with the division in equal parts, the three children of the second marriage would have the majority of the shares of Fininvest, a company that their two eldest sons, Marina and Pier Silvio, have run for years. A problem not to be underestimated if it has not been contemplated in the will that Berlusconi would have left and that could create a family fissure.

Meanwhile, Fininvest’s shareholders’ meeting is called for the last days of June, as every year, where it will decide how to redistribute the 61.2% of the capital it retains and the shares of the five children.

Silvio Berlusconi

The former Prime Minister of Italy Silvio Berlusconi was delicate during his hospitalization for coronavirus.

The former Prime Minister of Italy Silvio Berlusconi was delicate during his hospitalization for coronavirus.

Photo: Expresolatino.net

If the shares were distributed equally among the five heirs, the last three with Verónica Lario would find the absolute majority of the capital (58%), leaving the two older brothers in the minority. A result that would be in contradiction with the fact that Berlusconi appointed Marina (the eldest) at the head of the mega-company Fininvest and Mondadori, as well as Pier Silvio (the second son) at the head of the Mediaset Group, which since his transfer to Amsterdam has been renamed Mfe-MediaForEurope, with the aim of making it a more European Group.

Forza Italia: first day of a new era

It is undeniable that the death of Berlusconi leaves a power vacuum in “Forza Italia”, the political party that he himself founded in 2013 and that now opens a path of redefinition throughout the center-right that currently governs Italy. The Senator’s party – the political position held by Berlusconi when he died – is the most moderate of the three parties that make up the government coalition, along with Giorgia Meloni’s “Brothers of Italy” and Matteo Salvini’s “Lega”, and which 24 hours after the disappearance of its leader, it is going through a new era on the political scene. At this time, concern reigns at the headquarters of the “Forza Italia” party, which is undergoing a harsh test of survival with a whole future to rewrite: it is hypnotized that Meloni could close an agreement with the “Cavaliere” parliamentarians and thus take them away for its ranks, a probability that would disintegrate the party devised by Berlusconi.

RETURN. Former Prime Minister Silvio Berlusconi will again be a candidate in the March 4 elections. He headed different administrations since 1995 and governed a total of 17 years.

Another possible, less likely option would be to continue with its current formation and expand its participation to other currents in the center that are realigning themselves and redefining their identity after the defeat they suffered in the last elections. Whether “Forza Italia” resists in its current configuration, perhaps with a team of leaders extended to other currents, or if it disintegrates, the hypothesis of a single party that brings together the “extreme right” of Meloni and Salvini and precisely what would remain of Forza Italia, with a simple exodus of the Berlusconian parliamentarians towards the “Brothers of Italy” alone. But there are also those who envision scenarios of a center-right “rassemblement”, which would also look at the center’s moderates, such as former Prime Minister Matteo Renzi, who in recent hours has tweeted words of praise for the deceased leader.

All the movements have their eyes on the next European elections to be held in 2024, where the hunt for votes of the undecided has already begun by the coalitions that are formed. At this time there are many questions. Only time will tell what will happen in the Berlusconian ranks, in the finances of the powerful dynasty and in Italian politics. But it won’t be able to spend too much time, because the economy pushes to find solutions inside and outside the Berlusconi family and politics does not forgive the power vacuum.

Source: Ambito

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