Wipro CEO Srinivas Pallia sold all his shares in IT giant for Rs 5 crore weeks before taking charge


Srinivas Pallia, a long-time worker of Wipro, sold all his shares in the corporate value Rs 5 crore only a month and a half before being appointed as the brand new CEO of the IT giant. The transaction, which befell on February 14, was reported to the alternate the next day. Pallia disposed of his 1,00,000 Wipro shares by way of “market sale”. After the sale, Pallia held no securities in Wipro.
The firm declined to touch upon the matter, citing a silent interval forward of its quarterly and annual outcomes announcement. On April 6, Wipro introduced the surprising resignation of CEO Thierry Delaporte, 15 months before the tip of his five-year time period. Pallia was instantly promoted to the highest place.
Concerns had been raised about Wipro’s lackluster income efficiency, which had made it a laggard in comparison with its large-cap Indian IT friends in FY23-24. The firm additionally confronted vital senior management attrition over the previous two years, with about one and a half dozen exits throughout Delaporte’s tenure as he pursued his (*5*)
Also Read | Who is Srini Pallia, Wipro’s new CEO & MD? All you wish to find out about him
Pallia, who relies in New Jersey and experiences to chairman Rishad Premji, joined Wipro in 1992 and beforehand served as the top of Americas 1, the corporate’s largest and fastest-growing strategic market.
Wipro shares have seen a rally of near 27% in the final one yr. On Monday, they ended 2.47% decrease at Rs 459.25 on the BSE.
Outsourcing skilled Pareekh Jain commented on the timing of Pallia’s share sale, “The timing of Pallia’s share sale is interesting. So, either he needed money or was he thinking of joining the ranks of many of his former colleagues by quitting and therefore, Wipro’s board was compelled to fast forward the CEO transition process by a year in advance?”
As the brand new CEO, Pallia could have a brand new contract with the corporate, and his compensation can be structured accordingly. Senior leaders in IT corporations sometimes have a wage construction that features a base wage, allowances, bonuses or incentives, variables, and inventory items reminiscent of efficiency inventory items, restricted inventory items, and ESOPs.

Nilesh Desai
Nilesh Desaihttps://www.TheNileshDesai.com
The Hindu Patrika is founded in 2016 by Mr. Nilesh Desai. This website is providing news and information mainly related to Hinduism. We appreciate if you send News, information or suggestion.


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