1. In row with NR Narayana Murthy, others, Vishal Sikka says, ‘huge clients’ have voiced support in his leadership

In row with NR Narayana Murthy, others, Vishal Sikka says, ‘huge clients’ have voiced support in his leadership

Infosys’ institutional investors, who appear to be unperturbed by the clash between the company’s board and its founders, would have been further reassured by CEO Vishal Sikka’s assertion on Tuesday that there had been no queries from clients.

By: | Bengaluru | Published: February 15, 2017 8:20 AM
Vishal Sikka (Reuters) Vishal Sikka (Reuters)

Infosys’ institutional investors, who appear to be unperturbed by the clash between the company’s board and its founders, would have been further reassured by CEO Vishal Sikka’s assertion on Tuesday that there had been no queries from clients.

“Some have written strong words of support and I felt moved. We have had six or seven emails from huge clients,” Sikka said on an investors’ call.

Infosys founder NR Narayana Murthy had alleged the severance payout made to former chief financial officer Rajiv Bansal had been excessive and hinted it might be hush money. The founders are also understood to have expressed concerns on Sikka’s reworked compensation of $11 million the allocation of the company’s capital.

The Infosys stock, however, has been remarkably resilient in the face discord and dissension; the stock has risen in every session since February 6, save in one and on Tuesday, it closed at 987.30.

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Speaking to investors, Infosys chairman R Seshasayee said he had made it clear to the founders that while all suggestions from them would be received and given due respect, as would inputs from other stakeholders, the board would act in the overall interest of shareholders. “We had a frank discussion and both of us agreed we should not have interactions through the media and made a renewed commitment not to allow this to spill over into the public arena,” he said.

Seshasayee reiterated he was here to stay. “There was a suggestion that I step down but given the support of the board I had said I do not intend stepping down,” he asserted. Replying to a query on whether the variable part of the CEO’s compensation was flexible enough to ensure he was motivated, Seshasayee answered in the affirmative, saying the board did have the flexibility to ensure the CEO remained motivated even as it stayed faithful to the growth targets and trajectory set out.

  1. K
    Koickaleth Varghese
    Feb 15, 2017 at 5:37 am
    But share holders not. You lost a major client not yet compensated with an equal client. You and the directors who support you are only bent on eating up the pie not leaving any thing for the share holders. Diligence and pecuniary discipline not shown by you. You obsession with emperor like life style end up like Vijay Mallya. The arrogance you are uttering before the public is degrading you as a worthy human being. You should show the responsibility of a trusteeship as Mahatma hiji want every person who is holding responsible position. That the original promotors are living example; what they earn more of it goes to society. They can vulgarise themselves in luxury but they are committed to moral values and what ever God gives, to be share with the needy fellow human beings.
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