(Bloomberg) -- The Italian investors of Pirelli & C. SpA are increasing their influence over the iconic tiremaker after the government stepped in to limit the influence of China’s investor in the company Sinochem.

Marco Tronchetti Provera’s financial holdings MTP SpA and Camfin SpA approved a two-steps transaction which allow them to increase their holding, according to a statement on late Monday. Under that plan, MTP reached an agreement to raise its stake to 20.6% from 14%, the company said.

Tronchetti Provera is a top executive of Pirelli, one of Italy’s most prominent manufacturers, a key supplier to super-car makers and a partner of Formula One racing

READ MORE: Meloni’s China Spat Hands Win to Pirelli Boss Tronchetti

Last June Prime Minister Giorgia Meloni’s cabinet used its veto powers, known as ‘golden power’ to impose restrictions on the access of Pirelli’s Chinese investor Sinochem to information from the technology, deeming it strategically important. The government cited concern about data collected by sensors in the company’s tires.

The newly announced transactions do not change the agreements signed with shareholders Brembo SpA and with Sinochem linked to the governance provisions for Pirelli, the statement added.

©2024 Bloomberg L.P.