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Last Updated : Aug 22, 2017 05:30 PM IST | Source: CNBC-TV18

Sikka exits: What next for Infosys?

Last four days have been turbulent for technology giant Infosys. The firm's MD and CEO Vishal Sikka quit on Friday, which was followed by a war of words between the company's board and its founder, NRN Murthy. Then came the announcement of a Rs 13,000 crore buyback and that announcement coincided with the news that some US based law firms are investigating alleged violation of US laws by either Infosys or its officials.

Last four days have been turbulent for technology giant Infosys. The firm's MD and CEO Vishal Sikka quit on Friday, which was followed by a war of words between the company's board and its founder, NRN Murthy. Then came the announcement of a Rs 13,000 crore buyback and that announcement coincided with the news that some US based law firms are investigating alleged violation of US laws by either Infosys or its officials.

This news also triggered the concern that the move by these law firms could culminate into class action lawsuits. These developments kept investors jittery who in turn punished the stock to such an extent that Infosys slipped out of the list of top-10 Nifty companies in terms of market capitalisation.

Today the Co-Chairman of Infosys board, Ravi Venkatesan met the Finance Minister to apprise him of the latest developments and assure the government that all is well at Infosys. So what next now for Infosys? In an interview to CNBC-TV18, Sandip Bhagat, Partner, S&R Associates discussed the challenges that the IT major faces - especially the threat of class action suits.

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First Published on Aug 22, 2017 05:30 pm
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