SKS Microfinance is trading lower by 4% at Rs 99.65, extending its 10% decline in past three days, after the exit of the company’s founder and executive chairman Vikram Akula. The company did not give any reason for the resignation.
India’s only listed micro-finance institution said on November 23 that Vikram Akula was resigning as the company’s executive chairman and will continue as a “consultant” till March 2012 to “assist with the transition” process.
“The company and Dr. Akula have subsequently entered into an agreement for their respective future obligations such as consultancy services by Dr. Akula to the company, non-compete and non-solicitation obligations etc,” SKS Microfinance said in a filing to the stock exchanges.
The stock has more than halved from Rs 214 since the announcement of financial results on November 7. The company had reported a net loss of Rs 603 crore for the first half of current financial year 2011-12 against a net profit of Rs 147 crore during the same period of the previous fiscal.
A combined 531,258 shares have changed hands on the counter so far on both the exchanges.