Infosys (INFY) - Get Report stock traded down nearly 7% Friday morning after CEO Vishal Sikka unexpectedly stepped down, citing a "continuous drumbeat of distractions" and ongoing tension with founders over the company's strategy, according to Reuters.
Sikka was brought in to overhaul Infosys three years ago. In a Friday blog post, Sikka said he "cannot carry out [his] job as CEO and continue to create value, while also constantly defending against unrelenting, baseless/malicious and increasingly personal attacks."
The Infosys board came out in support for Sikka, calling out founder and former chairman Narayana Murthy for driving Sikka out. Murthy had previously been cited as calling Sikka "CTO material" and not "CEO material."
Since Sikka took the helm in 2014, Infosys' market cap jumped to $31.78 billion from $4.6 billion. Shares have increased more than 20%. Sikka's resignation comes one day before a shareholder meeting to discuss a major buyback program.
More of What's Trending on TheStreet:
- The Stock Market's Sell-Off Spreads Across the Globe -- The Latest
- Amazon Is Absolutely 'Doing Great Damage.' Duh, Mr. President, That's Business
- You Can't Price in Pure Mass Chaos: Market Recon
- Apple Should Be Terrified By How Much Samsung Is Spending on Its Future