Rahul Bajaj will step down as the non-executive chairperson of Bajaj Finance Limited at the end of this month, after being in charge for more than three decades, the company said in a regulatory filing on Tuesday.
Bajaj Finance said he will be succeeded by Sanjiv Bajaj, the current vice-chairperson.
“… Rahul Bajaj, Non-Executive Chairman of the Company, having been at the helm of the Company since its inception in 1987 and the Group for over five decades, as part of succession planning, has decided to demit the office as Chairman of the Board w.e.f. close of business hours on 31 July 2020,” the company said.
Rahul Bajaj, however, will continue to serve the company as a non-executive non-independent director, it said.
The company’s board has approved the appointment of Sanjiv Bajaj in place of Rahul Bajaj from August 1, the filing said.
Sanjiv Bajaj also chairs the board of Bajaj Allianz Life Insurance Company and Bajaj Allianz General Insurance Company since 2013. He is also the managing director of Bajaj Holdings & Investment.
Bajaj Finance on Tuesday posted 19% year-on-year fall in consolidated net profit at Rs 962 crore for the April to June quarter. It had posted a net profit of Rs 1,195 crore in the corresponding quarter of last year.
Shares of the company dropped by nearly 4% on account of its weak performance and the announcement of leadership change.