Axis Bank down 2% amid CEO's term review buzz

NEW DELHI: Axis Bank fell over 2 per cent on Monday after the Reserve Bank of India asked the lender's board to reconsider the fourth three-year term it handed to CEO Shikha Sharma last year.

Those aware of the development told ET that the regulator addressed the letter to Axis Bank Chairman Sanjiv Misra and listed out the reasons for a review. These included the bank’s performance and its deteriorating asset quality, they said, adding that the board is now considering a one-year term for Sharma, during which it will look for a successor.

The stock came down 2.20 per cent to close at Rs 498.20 on the BSE.


Sharma, who took charge in 2009, is in her third term as the bank chief, with the fourth set to begin in June. The RBI did not reply to ET’s queries.