Malavika succeeds late husband Siddhartha as Coffee Day CEO
l Founder Siddhartha died in July, 2019
l Company appoints 3 directors on its board
l Company pares part of debt by selling assets
Bengaluru: Malavika Hegde, wife of late V.G. Siddhartha and Director of Coffee Day Global Ltd has been appointed as the new Chief Executive Officer (CEO), filling the vacancy caused by the death of her husband in July 2019, the company said on Monday in a regulatory filing on the BSE. Her appointment will come into effect from December 7, the company statement added.
Malavika, 51, is the daughter of senior BJP leader and former External Affairs Minister S.M. Krishna.
The company also appointed C.H. Vasundhara Devi, Giri Devanur and Mohan Raghavendra Kondi as independent directors on the reconstituted board for 5 years from December 31, 2020 to December 30, 2025.
Siddhartha, who co-founded the country's largest coffee retail chain Cafe Coffee Day, was found dead on July 31, 2019 near Mangaluru. He is reported to have committed suicide due to huge financial losses in his businesses.
In a letter to the company's 25,000 employees on July 24, Malavika said she was committed to the future of Coffee Day as a going concern.
"We will work to reduce the debt to a manageable level by selling a few more investments as I am committed to the company's future," she said.
The company has pared its debt to Rs 3,200 crore from Rs 7,200 crore by selling parts of its assets, including properties and shares in subsidiaries.
