infosys q3 fy2017 results vishal sikka share price
Former Infosys CEO Vishal Sikka and interim CEO U B Pravin Rao (left) during a press conference to announce the company's second quarter financial results in Bengaluru on October 14, 2016. The Bengaluru-based company is India's second-largest IT software services exporter, after Tata Consultancy Services (TCS).IANS

Software services major Infosys has sought shareholder approval to the appointment of U B Pravin Rao as its managing director, according to a PTI report on Saturday.

Bengaluru-based Infosys, India's second largest software services firm, said in a postal ballot that Pravin Rao will continue to hold the position of interim CEO and MD for a maximum of five years, or until a new CEO and MD is appointed.

"U B Pravin Rao will hold the position of Interim CEO and MD of the company for a term not exceeding five years or until a new CEO and MD is appointed or if his employment as Interim CEO and MD is terminated earlier by either party giving 90 days' notice to the other party in this regard," Infosys said.

Rao is chief operating officer at Infosys, and was named interim CEO and managing director on August 18, after then chief Vishal Sikka resigned against the backdrop of a spate of allegations hurled by co-founder N R Narayana Murthy.

Infosys said Rao will continue to perform his role as the COO and interim CEO, along with that of MD. However, he will draw no additional pay as MD of the company, the report said.

The report said that Infosys has roped in executive search firm Egon Zehnder to help in the global search to find Sikka's replacement. The Bengaluru-based company has set a deadline of March 2018 to fill the top position.

Rao will receive up to Rs 12.5 crore this year in annual renumeration comprising a fixed salary of Rs 4.63 crore, a variable compensation of Rs 3.87 crore (at 100 per cent payout) and performance-based stock options of Rs 4 crore (vested over a period of 4 years) as approved by shareholders.

His last drawn remuneration for fiscal 2017 was Rs 7.8 crore (excluding value of stock options granted of Rs 4 crore).

Infosys employees walk through the company campus at Sarjapur Road near Bengaluru in this file photo.Reuters

Shareholders will be able to vote on the postal ballot from September 8 to October 7, and the results will be declared on or before October 9.

The ballot has also pointed out that Nandan Nilekani, who was recently appointed the non-executive chairman, will not receive any remuneration for his current post.