HDFC Bank is looking to appoint a search firm as early as this week as it accelerates efforts to identify potential candidates to head the firm.
| Photo Credit:
Dado Ruvic
HDFC Bank Ltd is seeking to hire a search firm to fast-track the appointment of a new chief executive officer, according to people with knowledge of the matter, an indication of how India’s top private-sector lender was caught unawares by incumbent Sashidhar Jagdishan deciding to step down.The Mumbai-based lender’s talks with headhunters, including Egon Zehnder, gathered pace after Saturday’s announcement, said the people who asked not to be identified because the information is private. Jagdishan, a three-decade HDFC Bank veteran, decided not to seek reappointment, according to a filing to the stock exchange.The bank is looking to appoint a search firm as early as this week as it accelerates efforts to identify potential candidates to head the firm, the people said. Analysts have highlighted Deputy Managing Director Kaizad Bharucha as the strongest internal contender alongside other insiders.A new chief executive officer is likely to be tasked with shoring up investor confidence at the lender, whose shares have fallen 28 per cent this year, compared with a 4 per cent decline in the benchmark Nifty Bank Index. Jagdishan’s move ends months of speculation that he was eyeing an extension. His final day is October 26, and the board has to seek regulatory approval for a replacement, who could be an internal or external candidate.HDFC Bank did not immediately reply to an email seeking comment, while Egon Zehnder declined to comment.HDFC Bank, which counts Vanguard Group Inc and Blackrock Inc among its major shareholders, plunged into a crisis in March after then Chairman Atanu Chakraborty made an acrimonious exit, citing “certain happenings and practices” at the bank that were not in line with his “personal values and ethics.” The lender appointed a successor and also conducted an independent legal review that found no evidence to substantiate Chakraborty’s allegations, citing inconsistencies in his statements.Bharucha, who is in charge of retail and wholesale banking at the firm, has spent three decades at the lender. However, he has served on the board for 12 years, and central bank regulations cap the continuous tenure of a CEO or whole-time director at 15 years. That means that if appointed, he may not be able to complete a full three-year term.More stories like this are available on bloomberg.comPublished on August 31, 2026
