Uday Kotak, the founder of Kotak Mahindra Bank, has stepped down as MD and CEO ahead of the end of his term, causing concern among businesses and investors. Kotak reflects on his decision, stating that he wanted to make the succession process smoother and that he had completed his responsibilities. He also emphasizes the importance of institutions over individuals and expresses his confidence in the future growth of the bank.
India Business News: Kotak Mahindra Bank's two whole-time directors, K V S Manian and Shanti Ekambaram, are seen as key internal contenders to succeed Uday Kotak. The form
Uday Kotaks sudden resignation on Saturday took the investor community by surprise. Kotak Mahindra Bank, with a market cap of `3.51 lakh crore, is currently the fourth-largest lender in the country. In his resignation letter to chairman Prakash Apte, Uday Kotak revealed that he had contemplated this decision and chose to step down four months before his terms conclusion.
Market analysts believe that the overhang of Kotak’s successor could rule on the stock performance until the Reserve Bank of India (RBI) approves the prospective candidate, who could be an insider.