Infosys, India's second-largest software services exporter, has said that the company's board on Wednesday recommended extending MD & CEO Vishal Sikka's tenure by two years till March 2021.
It reflects the Bengaluru-based company's goals to improve revenues and margins over a five-year period ending 2021 and Sikka's role in helping the company achieve those goals.
"The board believes that Dr Sikka's leadership will be essential to achieve these goals. Hence the Board recommends that Dr Sikka's present contract of employment be replaced with a new contract that is fully aligned to the period and goals as well as to shareholder value creation," the company said in a regulatory filing to the BSE on Wednesday.
The reappointment will be subject to shareholders' and regulatory approvals.
Sikka was appointed for a five-year term in August 2014.
The Infosys stock ended the day at Rs 1,125.40, up 0.13 percent.
On Feb.23, the Mint reported that Sikka had told his colleagues that he wants the company's revenues to grow at 16 percent in FY2017, higher than industry body Nasscom's estimate of 10 percent to 12 percent.
The company has set a target of $20 billion in revenues by FY2020 and is confident of achieving it.
"We believe it (sales of $20 billion by 2020) is very much doable. We do not doubt, and we believe there is enough and more opportunity for a company which is not complacent, able to think differently, and executes this well," chief operating officer U.B. Pravin Rao said in an interview Feb. 15, according to the daily.