Infosys shares fall on CFO Nilanjan Roy's resignation

Jayesh Sanghrajka has been appointed as the new CFO effective from April 1

Shares of Infosys opened over a percent lower on December 12 after the company's chief financial officer, Nilanjan Roy, stepped down from his post to pursue personal aspirations.

Since Roy’s resignation comes at a time when tier-I information technology companies are suffering from an increasing number of top brass exits, it has dented sentiment. As a result, American Depository Receipts (ADRs) of Infosys also fell nearly 3 percent overnight to $17.41 on the news of Roy's exit.

At 09.17 am, shares of Infosys were trading nearly 1 percent lower at Rs 1,478.90 on the NSE.

Brokerage firm Morgan Stanley also highlighted that Roy's resignation came as a surprise and could weigh on the sentiment for the stock. However, the firm expects the transition to be a rather smooth one.

On the other hand, independent market expert Hemang Jani was surprised by sharp dip in ADRs as he feels Roy's exit wasn't a corporate governance issue. Nonetheless, he advised investors to use this dip in the stock as a buying opportunity.

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The company announced that Jayesh Sanghrajka, will takeover as the new CFO from April 1, 2024 after Roy's exit which will be effective from March 31.

Sanghrajka brings more than 18 years of experience at Infosys, spanning across two stints, during which he has undertaken diverse leadership roles. Currently serving as the Executive Vice-President and Deputy Chief Financial Officer, he boasts a total of 25 years in the professional experience and is also a chartered accountant.

“I am delighted to announce that Jayesh will take over as Chief Financial Officer. As Deputy CFO, he has been leading multiple portfolios in the finance function for several years now and his depth of experience and knowledge will serve us well to take the function to greater heights,” Salil Parekh, CEO & MD, Infosys stated in an exchange filing.

Over the last 18 months, Infosys has witnessed exits of former presidents Ravi Kumar S and Mohit Joshi from the company.

Also Read | Infosys's chief financial officer Nilanjan Roy resigns

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