Coffee Day Enterprises on Monday said it has appointed Malavika Hegde, the wife of billionaire coffee entrepreneur VG Siddhartha Hegde who died under mysterious circumstances in Mangaluru in 2019, as Chief Executive Officer with effect from December 7. Currently, Hegde is a Director of the company.
In a stock exchange filing the company said, "Malavika Hegde, director of the company, has been appointed as chief executive officer of the company with effect from December 7, 2020."
The Coffee Day Enterprises board in its meeting on Monday also approved appointment of CH Vasudhara Devi, Giri Devanur and Mohan Raghavendra Kondi as additional directors in the capacity of non-executive independent directors of the company, CCD said in a filing to the Bombay Stock Exchange.
The change in top management came at a time when the company has reported piling losses and rising debts, forcing the company to shutdown several cafes across the country. The Coffee Day Group is also working to sell stake in several businesses and investments to trim its debt.
"The board of the company has recommended CH Vasudhara Devi, Giri Devanur and Mohan Raghavendra Kondi to be appointed as independent directors of the company from December 31, 2020, up till December 30, 2025, subject to the approval of shareholders of the company at the ensuing annual general meeting," the company said.
Besides, Mohan Raghavendra Kondi has been inducted to the board of directors of Coffee Day Global Limited, material subsidiary of the company with effect from December 7, 2020, as additional director in the capacity of non-executive independent directors of the company.
Ahead of the announcement in change in directorate, shares of Coffee Day Enterprises ended Monday's trade at Rs 26.05, up 4.83 per cent on the BSE.
By Chitranjan Kumar