Mahindra & Mahindra (M&M) on Friday, 20 December, announced a rejig of its top management with Anand Mahindra transitioning to the role of non-executive chairman from executive chairman, effective 1 April 2020.
In a statement, the firm said Pawan Kumar Goenka has been re-appointed as the managing director with additional responsibilities of chief executive officer (CEO) for a year, effective 1 April 2020.
The company has created the CEO position as it aims to implement its plans around electric mobility and capitalise on the synergies with Ford's India operations in the near future.
‘I See Myself as the Conscience Keeper of Mahindra Group’
Anand Mahindra had taken over as the Chairman of the 20.7 billion dollar group, which has presence in sectors ranging from farm equipment to software and aerospace, in August 2012 following the retirement of his uncle Keshub Mahindra after leading the conglomerate for 45 years.
During his tenure, the group went for expansion in both domestic and international markets in various sectors, including automobiles and agriculture to IT and aerospace.
He also led the M&M group in major acquisitions both on home front and globally, including those of Ssangyong Motors, Reva Electric Car Company, Satyam Computer Services, Peugeot Motorcycles, Gippsland Aeronautics, Aerostaff Australia, Holiday Club Resorts, and Pininfarina S.p.A.
Commenting on the changes, Mahindra said, "This plan reflects M&M's depth of management talent and will ensure continuity in terms of culture, values, governance and operational effectiveness."
“In my new role, I see myself as the conscience keeper of the Mahindra Group, as the custodian of its values and the watchdog of the interests of its shareholders. Internal audit will continue to report to me. I will continue to exercise oversight through the Board.”Anand Mahindra
Goenka joined M&M as General Manager (R&D) after his stint in General Motors' R&D Centre in Detroit in 1993. He led the development of the Scorpio, the company's highly successful SUV.
He rose through the ranks to become managing director of M&M in November 2016. Prior to that he held several positions in the group's automotive sector.
M&M Shares Fall Nearly 1%
Meanwhile, shares of M&M on Friday fell by nearly 1 percent on the bourses after the rejig of its top management.
The scrip declined 0.79 percent to close at Rs 530.80 on the BSE. During the day, it dipped 1.25 percent to Rs 528.35.
At the NSE, it fell 0.85 percent to close at Rs 530.80.
In other top management changes, M&M said Anish Shah will transition to become Managing Director and CEO on 2 April 2021, replacing Goenka, who will retire after his term ends.
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