HDFC begins search for CEO’S successor
Mumbai: The largest private sector lender HDFC Bank has decided to begin a global search to find a successor to the founding chief executive Aditya Puri, who retires in October 2020.
Meanwhile, Puri, the managing director and chief executive since 1994 when the bank was set up, has seen a whopping 41% increase in total remuneration in the financial year 2018-19 to Rs 13.67 crore.
“The nomination and remuneration committee of the Board will constitute a search committee to undertake a global search of both internal and external candidates,” the second largest bank said in FY19 annual report.
Puri turns 70 next year and has been instrumental in getting the bank to its current stature as one of the most valued banks globally in terms of price to earnings ratio.
There are reports that Puri, an ex-citibanker, may continue as the non-executive chairman post-retirement.
His salary grew to Rs 10.73 crore from Rs 7.26 crore in the previous fiscal, while the value of his perquisites grew to Rs 2.26 crore from Rs 1.82 crore.
Stock options exercised by Puri amounted to Rs 42.20 crore as against Rs 31.41 crore, as per the annual report.
Puri’s long-time colleague and deputy managing director Paresh Sukthankar, who left office last November in a hurry citing “personal reasons”, drew a salary of Rs 6.33 crore during the year as against Rs 5.30 crore in FY18.
Sukthankar exercised Rs 137.46 crore worth of stock options during the year, up from Rs 20.60 crore.
However, the median remuneration increase per employee of the bank stood at 10.31%, which is marginally down from 11.17% in the previous fiscal.
There was a big jump in the overall employee base to 98,061 in the year, up from 88,253.