Glass Lewis recommends Mediaset shareholders back changes to Dutch holding's bylaws

MILAN, Dec 20 (Reuters) - Glass Lewis recommended shareholders in Mediaset back amendments to the bylaws of the Dutch holding company into which the TV group wants to merge its Italian and Spanish businesses, in a document seen by Reuters.

The Milan-based broadcaster wants to use the new company, dubbed MediaforUEorpe (MFE), to pursue pan-European tie-ups to take on increasing competition in the industry and stalling growth in its domestic market.

But Vivendi, Mediaset’s second-largest investor, is challenging the corporate overhaul in court, saying it harms minority shareholders.

Mediaset called a shareholder meeting on Jan. 10 to approve the amendments which have been recommended by a Milan-based in order to address Vivendi’s concerns.

Reporting by Elvira Pollina, editing by Giulia Segreti