Larsen & Toubro announced the re-appointment of S. N. Subrahmanyan as Managing Director and Chief Executive Officer of the company, with effect from July 1, 2022, marking the first change of guard at the top of India’s largest engineering and construction corporation in 18 years. S.N. Subramanyam will replace A.M. Naik as the CEO of the company. L&T said that A.M. Naik, the company’s long-serving chairman, has been named non-executive chairman for three years to ensure a smooth transition of leadership and to provide direction and mentorship to management.
The present term of Naik as group executive chairman expires on September 30. He had been given a five-year extension till the company’s annual general meeting in 2017, which he had received in 2012. Prior to taking over the reins as CEO & MD in July 2017, SNS in his capacity as Deputy MD & President led L&T’s infrastructure business to its position as the country’s largest construction organisation and 14th in the world. He is now responsible for leading the breadth and width of L&T’s considerable business interests to new growth levels, riding on the enormous benefits of digitalisation, big data, and predictive analysis that he drives internally with exceptional zeal. He places a premium on innovation, project management and talent development, particularly in leadership roles.
During Naik’s 18-year tenure, the $16 billion-in-revenue L&T has gone global, waged bitter battles with competitors, avoided a hostile acquisition, and diversified into various new sectors, including defence equipment manufacturing.
Subrahmanyan also takes over at a difficult time: private investment demand in India hasn’t taken off, West Asia is slowing due to low oil prices, and the company has a high working capital and low return on equity.
