Giovanni Costantino, Chairman and CEO of The Italian Sea Group (TISG), along with his non-executive director son Gianmaria Costantino, have resigned from their positions. This collective resignation has automatically led to the dissolution of the entire board of directors. The board will continue to operate on a caretaker basis until September 10, ensuring continuity as the company undergoes a restructuring process.
TISG, a luxury yachting company listed on Euronext Milan, has been facing significant financial challenges, primarily due to cost overruns on many of its current projects. The company recently entered into an arrangement with its creditors, and the resigning directors stated their belief that a change in governance would strengthen stakeholder confidence and facilitate the ongoing restructuring.
Simultaneously, TISG has filed a $456 million lawsuit in a Sicilian court against the widow of British tech entrepreneur Mike Lynch, Angela Bacares Lynch, and others, following the 2024 sinking of the superyacht Bayesian. TISG claims that the sinking, which occurred in a violent storm, caused a "ruinous" loss of revenue, a collapse in its share price, and a devastating blow to the value of its Perini Navi brand, acquired in 2021. The company alleges that it has been unable to sell any Perini-branded yachts since the incident, completely drying up interest from brokers and potential buyers, and impacting its projected sales of nearly $1 billion by 2028.
Costantino, through his controlled company GC Holding, indirectly holds a 53.604% stake in TISG, representing 28.41 million ordinary shares. Gianmaria Costantino holds no stake. The lawsuit also claims that errors by the yacht's crew, including failing to close hatches and heed weather warnings, were responsible for the capsize, despite TISG's assertion that the yacht was "unsinkable."
