Padmaja Gangireddy, the Founder Managing Director of Spandana Sphoorty Finance (SSF) has resigned.
Key points to note –
- SSF is a private equity controlled entity. Kedaara Capital owns about 45% of the Company whereas Padmaja owns about 17%.
- Padmaja in a letter to employees has attributed the reason for resignation to be her disagreement of valuation at which Kedaara is pushing for SSF’s sale to Axis bank. “I opposed underselling of the company to Axis Bank at a throwaway price. While other MFIs were acquired at 4.75x and 3,5x BV multiples in the past few months, Kedaara wanted to sell Spandana at 1.6x, which is one-third of other company’s valuation. They are hell-bent on selling the company for their personal benefits,” Gangireddy said in the letter.
SSF in it’s intimation to the exchanges has confirmed it’s acceptance of Padamaja’s resignation and simultaneously has also informed that they have hired a replacement who is an industry veteran. The company didn’t disclose the name of the replacement. Industry sources said that Shalabh Saxena, MD & CEO of Bharat Financial Inclusion Ltd, could be appointed as the new CEO of Spandana.