NEW YORK (AP) -- Indian outsourcing company Infosys Ltd. on Monday said it named its founder, N.R. Narayana Murthy, as executive chairman and a board member effective June 1.
Murthy started Infosys in 1981. He was CEO from 1981 to 2002 and chairman from 2002 until his retirement in 2011.
The outsourcing giant in April reported a 4 percent drop in first-quarter profit and a offered a disappointing revenue forecast, largely due to the uncertain business climate in the U.S., the company's biggest market.
"This calling was sudden, unexpected, and most unusual," Murthy said in a statement. "But, then, Infosys is my middle child. Therefore, I have put aside my plans-in-progress and accepted this responsibility."
Infosys' American depositary shares added $1.67, or 4 percent, to $43.42 in Monday afternoon trading. The stock ended Friday down more than 1 percent this year.
Murthy's board appointment will be put before shareholders at the company's annual meeting on June 15. The board will meet again, subject to his election, to set a date for a special meeting to seek shareholder approval for his five-year term as executive chairman.
He will be paid the token compensation of one rupee (14 cents) per year.
The company said K.V. Kamath, who succeeded Murthy as chairman, is stepping down to become lead independent director, also effective June 1.
- Investment & Company Information