ROME (Reuters) -STMicroelectronics announced on Thursday the appointment of two new Italian members of its supervisory board, signalling that Italy and France were moving to settle their differences over the chip maker’s governance.

The group, in which the French and Italian governments indirectly own a combined 27.5% stake, has battled an industry-wide sales slump since the end of the COVID-19 pandemic, hit by low demand, high inventories, and geopolitical disruption.

Veteran ambassador Armando Varricchio and former STMicro executive Orio Bellezza will replace Maurizio Tamagnini and Paolo Visca on the board, the company said in a statement.

The appointments will be subject to shareholders’ approval at a meeting set for December 18, it added.

Italy and France clashed in April, when STM

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