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Infosys CEO Sikka resigns, blames founders

2017年 8月 18日 Friday - 01:56

Vishal Sikka, the CEO of Indian's second largest IT firm Infosys has resigned, blaming personal attacks by the company's founders as the reason for the move. Kate King reports.

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How quickly things can change. Little more than a month ago Vishal Sikka was front and centre, singing the praises of Infosys first quarter results. (JULY 14, 2017) SOUNDBITE (English) FORMER INFOSYS CEO, VISHAL SIKKA, SAYING: "We are very happy about the results of our Q1... On Friday Sikka resigned as CEO of the Indian IT firm - blaming personal attacks. SOUNDBITE (English) SENIOR FX STRATEGIST AT RABBOBANK, JANE FOLEY, SAYING: "This is obviously not a very good picture that is being projected into the market. One really of disruption and disarray within that management committee." Shares in Infosys plunged 13 percent to a three-year low on the news, wiping about $4.85 billion off the firm's market value. In his resignation letter, Sikka said months of 'false, malicious' attacks and continuous 'negativity' had inhibited his ability to make positive change. Sikka was the first CEO who was not also one of Infosys's founders. In the past, the firm's creators who still own 12 percent, questioned a pay rise granted to Sikka as well as the size of severance payouts given to others. His resignation putting added pressure on the company - which is battling an industry wide slowdown. SOUNDBITE (English) SENIOR FX STRATEGIST AT RABBOBANK, JANE FOLEY, SAYING: "This is regarding the issue of visas or a special type of visa which many IT officials from India had been using to work in the US and this is a pushback really from the Trump administration and this really could limit the expansion of the IT sector in India." Infosys is likely to struggle to reach its ambitious $20 billion revenue target by 2020 in what Sikka has previously described as a "challenging environment". It will though still be his problem, he's staying on as Executive vice-chairman - until a permanent CEO takes charge.

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Infosys CEO Sikka resigns, blames founders

2017年 8月 18日 Friday - 01:56