By Gianluca Semeraro

MILAN (Reuters) -The rebel challengers to Generali (MI:)’s current management pledged to grow earnings by double figures through cost cuts and free up more cash for M&A deals for Italy’s largest insurer.

Generali faces a power struggle about its board composition in a shareholder vote next week. Investor Francesco Gaetano Caltagirone has put up his candidates for top positions, including Claudio Costamagna as chairman.

Caltagirone’s team presented their strategy Friday at Caltagirone’s Camp. It was titled “Awakening the Lion”, in reference to Generali’s nickname “The Lion Of Trieste”, which appears on the logo.

“I spoke with investment bankers about the most common definition [of Generali]Costamagna said that she was “a beautiful sleeping beauty”.

He added, “It is half-sleepy but it has enormous potential.”

Caltagirone would like to replace Philippe Donnet (Frenchman, Chief Executive) and hire Luciano Cirina, Generali Insider, who was the head of Austria, CEE and CEE until he was fired this week.

The plan called “Awakening the Lion” on Generali’s gradual and inexorable decline of competitiveness when compared with its major European counterparts.

The goal is to increase earnings per share growth by more than 14% in the 2022-2024 timeframe, as opposed to Generali’s 6-8% target.

Another target is to lift the cash available for M&A to 7 billion euros ($7.70 billion). Generali’s goal was for 3 billion.

Generali replied to Generali on Friday. He stated that Donnet was the one who led the company’s best year ever and that his most recent plan was being received positively by the financial markets.

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Mediobanca, the largest shareholder, supported Donnet’s third term as CEO. They also nominated Andrea Sironi as the new Chairman. Sironi is a world-renowned expert on governance and risk management.

Caltagirone and Leonardo Del Vecchio are Generali’s largest shareholders and second- and third most important investors. They oppose Donnet being reappointed as they attempt to challenge Mediobanca’s influence.

Caltagirone, a journalist for Il Sole 24 Ore in Italy, stated that Cirina (a former Goldman Sachs banker, NYSE:), and Costamagna (a former chairman of Italian state investors CDP), are complementaries, “two faces of one coin.”

Generali has 35% share capital in institutional investors. Small savers have 23%. This means that their votes could decide the outcome of April 29.

Generali stated that its list of potential candidates will best benefit investors.

Generali stated in a statement that the board had presented “a solid and well-rounded list of highly qualified and experienced individuals from around the world, who will work for the good of all stakeholders rather than the benefit of any specific shareholders.”

($1 = 0.9085 euros)