Vivendi reportedly launched a process to review options for its 24 per cent stake in Telecom Italia with a potential sale on the cards, which would add to a broader reorganisation of the French conglomerate.

Bloomberg reported Vivendi had spoken to advisers as it evaluates potential options for the stake in the Italian business, which currently has a valuation of around €1.3 billion.

The value has dropped significantly since Vivendi bought the stake in 2016 for close to €4 billion.

A mooted sale has also been driven by a Vivendi announcement earlier this week it is considering a restructure to split into three parts, separating out pay-TV business Canal+, advertising and communications unit Havas and creating a holding company for its stakes in culture, media and entertainment.

For Telecom Italia, a split from Vivendi would likely smooth the process for a proposed sale of its fixed network assets to KKR for €18.8 billion.

Vivendi has opposed the sale, claiming it contravenes governance rules and vowing to use any legal means possible to challenge the move.

The row is the latest in a long line of run-ins between Vivendi and Telecom Italia executives, and other shareholders over strategy and leadership.