The company has appointed P H Ravi Kumar, independent director, as the interim non-executive chairman.
Trust explores options on reinduction of ousted founder on board as firm closes ranks.
SKS stock has been highly volatile, amid several controversies around the company and the sector.
India's leading microfinance firm, SKS Microfinance, made a decent debut on the Bombay Stock Exchange at Rs 1.036, up 5.17 per cent over its issue price.
SKS was listed on the local bourses in August 2010 at a 5.6 per cent premium on its issue price of Rs 985. It appeared a bet that could hardly go wrong. Broking firms like Edelweiss Capital, Angel Broking, HDFC Securities and India Infoline had recommended to their clients to buy shares of SKS.
As the chairperson of SKS Trust, the largest shareholder in SKS Microfinance, Biksham Gujja created a stir by announcing they wanted to nominate Vikram Akula, the ousted boss who had founded the company the latter founded, as its representative on the board.
Sure, a few listings like those of SKS Microfinance and Gujarat Pipavav have seen significant investor interest, but experts say it's too early to signal a primary market revival.
SKS Microfinance, one of the country's leading microfinance companies, has extended life insurance cover to about one million poor women in India in states such as Andhra Pradesh, Orissa, Karnataka, West Bengal, Rajasthan, Uttar Pradesh and Madhya Pradesh.
Akula may be much celebrated, but he is not alone. There are dozens of MFI success stories, all of whom have surfaced over the last five-seven years, with a common mandate to "eradicate poverty", profitably. With a turnaround time for MFIs at one or two years, competition among the top few MFIs is intensifying to attract equity investments. Interestingly, with barely 15 per cent of rural households currently MFI borrowers, there is sufficient leeway for growth.
Biksham Gujja contributed to major global initiatives such as the World Commission on Dams, World Water Commission and World Water Forum.
Health issues, divorce, court battles, moral turpitude, and more can all distract the CEO and impinge on a company's performance. So, how much of their private life should a company disclose? asks Amit Tandon.
One of the hurdles for MFIs towards becoming banks is an unsecured loan portfolio.
Esops are considered perquisites from a taxation perspective. If you are employed with the company at the time of exercising, then the perquisite amount would be added to your salary and subject to tax deducted at source as per the slab rate applicable.
The storyline pretty much resembles that of Apple co-founder Steve Jobs, who was fired from the company in 1985.
The board has decided to expand into all financial services for the rural population. SKS would, however, continue to be a strong player in the microfinance business. Financial inclusion would continue to be in the centre of our activities.
A host of companies started the ground work for their banking play.
This recognition is a testimony of India's strong belief in promoting entrepreneurship
Stung by the controversy over the sudden sacking of the Managing Director at India's largest microfinance institution, SKS Microfinance, lenders have decided to raise corporate governance issues at board meetings of other MFIs.
The year 2010 was a tumultuous one for micro-finance institutions (MFIs) in India.
After raising Rs 1,600 crore through an initial public offer in August, the Hyderabad-based company on October 4 terminated the services of Gurumani four years ahead of the expiry of contract and named M R Rao as his successor. Gurumani had a five-year contract starting from April 1, 2009.
Catamaran Management Services, the venture capital fund promoted by Infosys Technologies Chairman N R Narayana Murthy, is free to exit SKS Microfinance.
As many as 61 companies hit the primary market in the 2010-11 fiscal.
Infosys co-founder N R Narayana Murthy on Wednesday said exit of his investment firm Catamaran from SKS Microfinance, which is in the thick of controversies, was legally not possible at this juncture.
Gurumani have been roundly criticised for booking eye-popping profits on share sales of exercised options.
With the mantras 'Explore, Dream, Discover,' the 17th edition of the three-day Network of Indian Professionals in North America (NetIP) conference to be held in Boston offers to the 800 participants opportunities to hear industry leaders and stalwart professors, including Gururaj 'Desh' Deshpande of Sycamore Networks; Tarun Khanna, professor at Harvard University Business School; and Vikram Akula of SKS Microfinance.
Following a spate of suicides by poor and rural people in Andhra Pradesh allegedly due to pressure from MFIs, SKS Microfinance on Friday said that as many as 17 borrowers from their firm figured in the list, but none of them were loan defaulters.
In a major management change at the top, SKS Microfinance on terminated the services of Suresh Gurumani as CEO, triggering a six per cent fall in the company's stocks.
A week after SKS Microfinance was listed on BSE, many of the employees are finding themselves in the league of millionaires.
Murthy's fund, which has invested through Catamaran Management Services, will hold 1.3 per cent in the company after the IPO.
As many as 17 Indians -- including Wadia Group chairman Jeh Wadia, SKS Microfinance CEO Vikram Akula, Bhatia Enterprises chairman Sabeer Bhatia, music composer A R Rahman, and sitar player Anoushka Shankar -- have been named the Young Global Leaders for 2008, in a list announced by the World Economic Forum on Tuesday. As many as 245 leading executives, public figures and intellectuals -- all aged 40 or younger -- were chosen from around the world by the WEF.
The US-born microfinance guru, who still speaks with a twang, runs one of the country's largest microfinance companies, SKS Microfinance.
A sea change sweeping the sector, signalling it has come of age. As much as this is a cause for celebration, it is also necessary to ask if all is well with the sector, which way it is going and, most importantly, which way it ought to go, says Subir Roy.
In 2012, Akula quit as chairman of Bharat Financial Inclusion (formerly SKS Microfinance), which he'd founded and led to a successful initial public offering
Ashok Leyland, ITD Cementation India have more than doubled.
It might be difficult to repeat the SKS success with VAYA Finserv, say analysts
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SBI will hold 30 per cent in RIL joint venture
'Unless India Inc's earnings offer promise in March 2017 quarter, sentiment may not reverse in a hurry.'
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Reliance, Birla Group, Airtel eye small finance banks.
'An entrepreneur should always remain under pressure or he will die,' Vineet Rai tells Anjuli Bhargava.
Nifty50 surged 145 points to close at 8,468 after hitting an intra-day high of 8,475.
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