18 March 2019
Bhubaneswar: Subroto Bagchi, Chairman of Odisha Skill Development Authority, resigned from his post last night to save Mindtree, an IT company that he co-founded, from 'hostile takeover'.
Taking to Twitter, he wrote, "An imminent threat of hostile takeover of Mindtree has made me to resign from the Government to be able to go, save the company. I must protect the Tree from people who have arrived with bulldozers & saw chains to cut it down so that in its place, they can build a shopping mall."
"Mindtree has not been designed as an “asset” to be bought & sold. It is a national resource. It has a unique culture that humanizes the idea of business. It sets the standards of corporate governance. I need to be there in its time of difficulty. Hence the hard decision to return," he added.
Reportedly, Larsen and Toubro (L&T) is preparing for a hostile takeover of Mindtree. According to a media report, L&T is set to sign a binding agreement to buy Cafe Coffee Day founder V.G. Siddhartha's stake in the company. This is likely to increase L&T's stakes to 51 per cent in Mindtree. It may eventually lead to the current management losing control of the company, reports said.
It is notable to mention here that Bagchi had taken over the chairman of OSDA on May 1, 2016. Bagchi drew a salary of Rupees 1 per year for his services to the State.