Fortis CEO quits ahead of board makeover
Amid the ongoing tussle between the government and the Reserve Bank of India (RBI), former Niti Aayog vice chairman Arvind Panagariya has suggested that the two sides must eventually ‘compromise’ and ‘come together in national interest’.
While the RBI is legally less independent in India than the Federal Reserve in the United States, effectively it has enjoyed the same independence as the US regulator, the noted economist said in an interview to “Even when there are differences between the two sides, they must eventually compromise and come together in national interest,” he added. way of preferential allotment for a 31.1% stake, valuing the cash-strapped firm at ₹8,880 crore.
The money infused through the deal is expected to meet Fortis’s immediate and longterm liquidity requirements, including acquiring assets from Singapore-based Religare Health Trust (RHT) and providing an exit to private equity investors in SRL Diagnostics, Fortis’s diagnostic arm. “Majority of the amount is going to RHT in relation to proposed disposal of the entire portfolio of RHT,” said the second person on condition of anonymity.
Doctors working at Fortis Healthcare were informed about Singh’s resignation in a conference call on Thursday evening. Singh said the challenges at the company over the past couple of years had not allowed him to spend time with his family. “I believe that the right time for me to make this transition is now. After two very challenging years, the company is now on a stable platform and can look forward to the future with optimism,” he said a statement.
“I am very pleased that business recovery is well under way with solid improvement demonstrated during Q2 and with October results reflecting the best performance we have had in the past 12 months. So, with the turbulence behind us, the business once again looking up, and with IHH poised to take over the reins at Fortis as a majority shareholder in the coming weeks, the time for me to transition is now,” he said in the statement.
The Fortis board has accepted his resignation, the firm said in a stock exchange filing. “Singh will continue in his current capacity till Fortis finds his successor.”
Singh is the third top executive to resign after IHH won the bidding war. Chief financial officer Gagandeep Singh Bedi resigned in August. Company secretary Rahul Ranjan quit in October.
Fortis Healthcare chairman Ravi Rajagopal said: “Bhavdeep has been a pillar of strength at Fortis and has steadfastly led from the front. He has consistently demonstrated a high level of business acumen, an exceptionally strong work ethic and a very strong commitment towards building and sustaining strong people relationships built on a strong foundation of trust. However, his overwhelming involvement and commitment to support the company these past years had not allowed him sufficient time with his family. The company is standing strong today because of the leadership displayed by Bhavdeep.”
Tesla, Inc. said Robyn Denholm will replace Elon Musk as chair of the electric car maker’s board, more than a month after the billionaire had to step down from the role as part of a settlement with US regulators.
The appointment of Denholm, one of the two women on the carmaker’s nine-member board, caps months of turbulence for the company and its stock as investors called for stronger oversight of Musk, whose erratic public behaviour raised concerns about his ability to steer the company through a rocky phase of growth.
The company had until November 13 to name an independent board chairman under its agreement with the Securities and Exchange Commission (SEC), which followed an investigation into Musk’s tweets that he had “funding secured” for a deal, later scuttled, to take Tesla private.
Musk, who has been on Tesla’s board since 2004, quit as chairman but retained his role as chief executive officer (CEO). His tweets attracted scrutiny from several other government agencies as well.
Denholm is currently chief financial officer (CFO) at Australian telecoms operator Telstra Corp. Ltd and has been an independent director on Tesla’s board since 2014.
She takes over as Tesla’s chair immediately and will be tasked with overseeing the company as it ramps up production of its Model 3 sedans, seen crucial for the carmaker’s sustained profitability.
Denholm will leave her role as CFO and head of strategy at Telstra once her six-month notice period with the company is complete, Tesla said late on Wednesday.
She was named as Telstra’s CFO in July. Tesla said Denholm, 55, will serve as chair on a full-time basis and will temporarily step down as chair of