Uday Kotak, the current chief executive officer (CEO) and managing director (MD) of Kotak Mahindra Bank, will assume the role of a non-executive, non-independent director of the lender after the end of his tenure later this year.
In its regulatory filing, the bank said ‘the appointment of Mr Uday Suresh Kotak (DIN: 00007467) as a non-executive, non-independent director of the Bank upon his ceasing to be the managing director and CEO”, Mint reported.
The Reserve Bank of India had capped the terms of MD and CEO at the private banks at 15 years from October 1, 2021 onwards. The central bank, however, has allowed the serving bank heads to complete their current tenures.
Worth $14.1 billion as per Forbes, Uday Kotak has been heading the lender since its inception in 1985. Started as a non-banking financial institution, Kotak Mahindra became a commercial bank in 2003 and by the end of 2022 had 1,752 branches across the country.
In February, Bloomberg reported that the board of Kotak Mahindra Bank has engaged global management consulting and leadership search firm Egon Zehnder to lead a global search for a CEO to replace the founder.
According to report, group presidents and whole-time directors Shanti Ekambaram and KVS Manian are the internal candidates for the top job, according to the people.
Having joined the bank in 1991, Ekambaram oversees multiple functions including online savings accounts, treasury, public affairs and human resources. On the other hand, Manian is a member of the group management council and heads its wholesale banking and wealth management business.
The bank’s net income jumped by 31% to 27.9 billion rupees ($337 million) in the quarter ended December, backed by strong demand for credit in India.