Telecom Italia Approves Grid Sale, Defies Top Investor (1)

Telecom Italia SpA has agreed to sell its landline network to KKR & Co. for as much as €22 billion ($24 billion), moving ahead with a strategic shakeup it’s been weighing for over 15 years — and defying its biggest shareholder.

The phone carrier’s board over the weekend approved the sale, which has the support of the Italian government, and said the accord with the US private equity firm won’t be subject to a shareholder vote. That sets up a direct challenge to French media conglomerate Vivendi SE, the company’s largest investor.

Telecom Italia shares reversed earlier gains in ...