Veteran industrialist AM Naik has formally stepped down as Non-Executive Chairman of Larsen & Toubro (L&T) on September 30, passing on the baton of $23 billion conglomerate to S N Subrahmanyan.
Naik, 81, will now be chairman of IT companies and the employees trust along with the focus on scaling up the philanthropic initiatives that he has been undertaking for the past few years, L&T said in a statement.
Honouring his larger-than-life industrial and philanthropic persona, India Post unveiled a postage stamp on him at the occasion. L&T’s former directors and Naik’s family members also unveiled the cover of his upcoming biography The Man Who Built Tomorrow that will be published by Harper Collins.
L&T stated that his attention going forward will be trained on his varied philanthropic initiatives including the Naik Charitable Trust which focuses on education and skill-building of the underprivileged, and the Nirali Memorial Medical Trust dedicated to facilitating super specialty healthcare at subsidised cost.
Naik, who has worked at L&T for six decades, was appointed chief executive officer (CEO) in 1999 and chairman in 2003. The octogenarian has been conferred the status of chairman emeritus by the board.
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Naik, a veteran business leader, has been credited with thwarting two attempts at hostile takeover of L&T. He was instrumental in creating the Larsen & Toubro Employee Trust (LTET), which is the single largest shareholder of the company.
Owing to Naik’s endeavours over the years, Edelgive Hurun India Philanthropy List named him as the country’s most generous corporate professional for three consecutive years. In FY 2021-22 alone, Naik spent Rs 142 crore on philanthropy.
Hailing from a family of teachers in Gujarat, Naik had joined L&T in 1965 as a junior engineer and went onto become its Group Chairman.
In an exclusive interview with Moneycontrol earlier, In an exclusive interview with Moneycontrol, Naik said that he will give up all his other roles only by 2025.
"I am still the Consul General of Denmark until 2025. I have told the ambassador I can't continue beyond 2025. I am still the chairman of both IT companies for one year. I am still the advisor for L&T up to 2025. I have decided that by 2025, I will give up everything and only run the trust and my two trust social work ventures," Naik said.
SN Subrahmanyan, who is currently the CEO and Managing Director (MD) of the company, will take over as Chairman and Managing Director (CMD) with effect from October 1. He was promoted to the roles of CEO and MD in 2017 after a rigorous selection process. Naik groomed him for the top job for three years before his elevation.
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