In yet another sudden and unexpected development in the ongoing Infosys fracas, the IT multinational has informed all the stock exchanges it trades in that founder Nandan Nilekani has been appointed as the Chairman of the Board of Directors and as a non-executive, non-independent director of the board.
Meanwhile, the resignation of R Seshasayee and Vishal Sikka from the directorship of the board and their respective positions have also been accepted, while Ravi Venkatesan has resigned from his position but will continue to be an independent director. Seshasayee was the Chairman of the board until now, while Ravi Venkatesan was the Co-Chairman and Sikka the Executive Vice-Chairman.
The note to the stock exchanges also states that two other members of the board, Jeffrey S Lehman and John Etchemendy have also resigned from their directorship.
‚ÄúI am happy to return to Infosys, now in the role of non-executive chairman, and look forward to working with my colleagues on the Board and in executive management on the business opportunities we see before us and delivering benefits to our clients, shareholders, employees and communities. I thank Vishal for his service as the CEO of Infosys over the last 3 years and wish him well in his future endeavors,‚ÄĚ Nilekani said.
‚ÄúLast week I said that my remaining on the Infosys Board was to primarily enable a smooth transition. In Nandan, we have found an ideal leader to manage this transition. I welcome Nandan's appointment as Chairman to help guide Infosys to new frontiers of success and wish him, Pravin and all Infoscions the very best in the times ahead,‚ÄĚ Vishal Sikka said, according to a press release from the company.
‚ÄúNandan is the ideal leader for Infosys at this stage in the Company‚Äôs development. His appointment will allow Infosys to focus on the strategic changes it needs to make in order to capitalize on the attractive opportunities in the years ahead. Under Nandan, Infosys will build a cohesive management team that will no doubt take the Company to a leadership position in the industry. I believe these changes will infuse further confidence to the stakeholders in executing the transition plan and in reinforcing the strategy for the future. I am confident our employees and customers will join me in welcoming Nandan to the Company,‚ÄĚ Seshasayee said, according to the release.
‚ÄúThe Board had, on August 18, 2017, appointed Dr. Sikka as the Executive Vice Chairman (EVC) to facilitate a smooth transition. This transition has been expedited with the appointment of Mr. Nilekani. Given that the EVC employment agreement with Dr. Sikka had not yet been executed, the Board, prior to the induction of Mr. Nilekani, decided that the Company will complete all resignation formalities as per Dr. Sikka‚Äôs employment contract as MD and CEO as executed on April 1, 2016 and approved by the shareholders,‚ÄĚ the release further said.
UB Pravin Rao will continue as the Interim CEO and MD of the company.