Vishal Sikka quits as CEO and Managing Director of Infosys

August 18, 2017, 10:45 am
Vishal Sikka quits as CEO and Managing Director of Infosys
BUSINESS NEWS
BUSINESS NEWS
Vishal Sikka quits as CEO and Managing Director of Infosys

Vishal Sikka quits as CEO and Managing Director of Infosys

Vishal Sikka resigned as the Chief Executive Officer and Managing Director of the tech giant Infosys on Friday. The chief operating officer UB Pravin Rao has been appointed the interim MD and CEO.

“After much reflection, I have concluded that it is indeed time for me to leave my current positions as MD and CEO. I will be working...to ensure a smooth transition and in the meantime, continue our work without disruption..You can count on my commitment to this,” the 50-year-old said in his resignation letter.

The board of directors of Infosys Limited has at its meeting on Friday accepted the resignation of Sikka with immediate effect.

“The succession plan for appointment of a new Managing Director and Chief Executive Officer has been operationalised by the board and a search for the same has been commenced,” Infosys said.

Sikka’s resignation comes after months of disagreements with Infosys founder NR Narayana Murthy over corporate governance at the company.

“Over the last many months and quarters, we have all been besieged by false, baseless, malicious and increasingly personal attacks. Allegations that have been repeatedly proven false and baseless by multiple, independent investigations. But despite this, the attacks continue, and worse still, amplified by the very people from whom we all expected the most steadfast support in this great transformation. This continuous drumbeat of distractions and negativity over the last several months/quarters, inhibits our ability to make positive change and stay focused on value creation,” Sikka said in the resignation letter.

Sikka has been made the executive vice chairman and will hold office till a permanent appointment to the CEO and MD’s post is made, the company added.

As the news of Sikka’s resignation came in, the benchmark BSE Sensex plunged by 207.75 points or 0.65 per cent to 31,587.71 in early trade trade on Friday. Infosys shares also went down more than 7 percent in early trading.