L&T’s Chairman Emeritus AM Naik will retire from Subsidiary Companies LTIM and LTTS Board
Moneycontrol reported that AM Naik, Chairman Emeritus of Larsen & Toubro (L&T), is going to step down from the post of Non-Executive Chairman and Member of the Boards of LTIMindtree Limited (LTIM) and L&T Technology Services Limited (LTTS). Naik will retire from the Boards’ of all L&T Group companies after the end of the companies’ annual general meeting (AGM) on June 26.
Chairman and Managing Director of L&T, SN Subrahmanyan, will be promoted as Chairman in place of AM Naik for both of the subsidiaries LTIM and LTTS, according to sources.
On September 30, 2023, AM Naik, aged 82, stepped down as the Non-Executive Chairman of L&T, handing over the role to SN Subrahmanyan. AM Naik continued his involvement with the company as the Chairman of the employees’ trust, an advisor to the Board, and Chairman of the two IT subsidiaries until now.
In a notice sent to shareholders, LTTS announced Naik’s retirement. While LTIM’s notice to shareholders did not mention his departure, sources said it may be addressed as a “special business” at the AGM on June 26.
Naik is required to retire by rotation at the conclusion of the 12th AGM. Although eligible for reappointment, Naik has expressed his desire not to seek reappointment, resulting in a vacancy on the Board. The Board has resolved, subject to Members’ approval, that the vacancy will not be filled,” LTTS said in a notice to shareholders.
AM Naik, 82, a veteran of the infrastructure sector, was credited with preventing two notable hostile takeover attempts at L&T. He established the Larsen & Toubro Employee Trust (LTET) as the largest shareholder of the company in a strategic move to avert the takeover. Aside from diversifying L&T’s business and exiting non-core businesses, Naik also strategically led the company’s entry into IT services to take advantage of the sector’s opportunities and retain engineering talent. In 2019, L&T acquired Mindtree, the company’s most ambitious IT sector acquisition, under Naik’s leadership but driven by Subrahmanyan.
