Ratnakar bank, has taken the initial step to drastically alter its management structure. The private sector lender has approached the Reserve Bank of India (RBI) to recruit Vishwavir Ahuja, earlier MD & CEO of Bank of America’s India operations, as the would-be CEO.
Current CEO SG Kutte will become non-executive chairman of the bank after regulatory approvals are obtained.
The former Morgan Stanley India CEO Narayan Ramachandran has joined Ratnakar Bank’s board, Vijay Mahajan, MD of BASIX, has been selected as adviser.
A source said, “The bank’s board, which met last week, has submitted a proposal to RBI, recommending Mr Ahuja as the new CEO apart from ratifying the appointments of Mr Ramachandran and Mr Mahajan”. The board has also detailed a draft strategy report outlining the road map for the bank.
A source said, for the next few months, Ratnakar would plan raising capital via an equity rights offering. The source added, “If RBI permits, portions of the unsubscribed rights could be offered to institutional shareholders”.
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