|Rediff India Abroad Home | All the sections|
Independent directors on board likely: Subhiksha
March 05, 2009 19:20 IST
Crisis-ridden retail chain Subhiksha on Thursday said it will explore options to induct more independent directors into the company's board.
The retail chain, whose operations have come to a standstill in the wake of severe liquidity crunch, has already seen the exit of five board members in the last six months.
"The company is a board-managed company and will continue to be so. We will seek an even wider representation on the board so that we gain from the wisdom of all," Subhiksha Trading Services Ltd Managing Director R Subramanian told PTI.
"We just need more of them (independent directors) and from different backgrounds maybe and that is something we will do," he added.
Subramanian said a broader representation is necessary for securing effective management. "A wider board would prevent against only group's thinking by bringing different perspectives," he added.
Among the five board members, who have resigned, three were independent directors while two nominees represented ICICI [Get Quote] Venture, which is the second largest stakeholder in the company with 23 per cent stake.
"This is not a promoter-investor issue but one that is related to independent directors and people of a broader spectrum of interests, than even what we had," he said.