Eicher Motor shareholders have approved a proposal to re-appoint Siddhartha Lal as the company’s managing director for a period of five years with effect from May 1 this year. And the members also cleared the proposal to increase Lal’s remuneration.
On August 17, at the company’s annual general meeting, shareholders had rejected a special resolution fixing Lal’s tenure for five years and remuneration of up to 3% of the company’s profits.
In the latest round of voting, 93.75 per cent votes favoured the re-appointment, while 6.25 per cent votes opposed the proposal. Similarly, 98.56 per cent of the votes favoured an increase in Lal’s remuneration while 1.44 per cent votes went against the proposal.
“The resolution was passed with requisite majority,” Eicher Motors said in a regulatory filing. The agenda was cleared by the shareholders under the ‘ordinary resolution’ mechanism.
Siddhartha Lal is the Managing Director and CEO of Eicher Motors Ltd., the flagship company of Eicher Group in India. Siddhartha has also been the Chief Executive Officer of Royal Enfield and the Chairman of VE Commercial Vehicles (VECV); a joint venture between Volvo Group and Eicher Motors Ltd. (EML).
From July 2008 to July 2010, Siddhartha was the CEO of VE Commercial Vehicles (VECV). VECV is the third-largest Commercial Vehicles’ (CV) player in India and has ambitions to drive Modernization in commercial transportation and become a leading trucks and buses company in India and emerging world markets.
During 2000-2004, in his tenure as CEO of motorcycle Manufacturer Royal Enfield (a division of EML), Siddhartha helped revive the company’s Fortunes and also strengthened stakeholders’ involvement with the brand.
He holds a Master’s degree in Automotive Engineering from University of Leeds and is a Cranfield University qualified mechanical engineer. Siddhartha is also an Economics graduate from St. Stephens College in Delhi and an alumnus of The Doon School.
Royal Enfield, a part of Eicher Motors, is a leading player in the mid-sized motorcycle segment with presence across domestic as well as international markets. In addition to motorcycles, Eicher motors has a joint venture with Sweden’s AB Volvo VE Commercial Vehicles Limited (VECV).