L & T To Work On Succession Plan For Its Cement Subsidiary

Larsen & Toubro is expected to work on a succession planning for its proposed cement subsidiary that will be hived off from the main company. The move has become critical as the division head Mohan Karnani is due to retire next year. Senior company officials said that succession planning would begin once the exact future of the division""with regards to its relationship with the parent, the strategic partner, and other related issues""is sorted out. It is believed that the strategic investor in the cement company could be given some say in determining the chief executive of the company. The sources, however, did not rule out the possibility of an extension being granted to Karnani. L&T has maintained that it will retain management control of the company. The succession planning could begin from next month, sources said.