IndusInd Bank Faces Shareholder Pushback on Board Nominees

IndusInd Bank's proposal to add two nominee directors to its board was rejected by shareholders. Despite prior approval from the Reserve Bank of India, proxy advisors raised concerns. The bank's promoter entity, IIHL, plans to address these issues, emphasizing its long-term support for the bank.

IndusInd Bank's attempt to introduce two nominee directors to its board hit a roadblock when shareholders disapproved the move at the annual general meeting. With a 54.04% shareholding majority, the proposal was refused.

Despite prior clearance from the Reserve Bank of India and the bank's board, the promoters faced objections from proxy advisors. President and CEO of IIHL, Moses Harding, expressed hope in resolving misunderstandings related to the issue.

IIHL, promoter of IndusInd Bank for over 30 years, has consistently supported the bank. The entity plans to address concerns in alignment with RBI guidelines, underscoring its commitment to shareholder interests and exploring opportunities to increase its stake.

(With inputs from agencies.)