S Ramadorai, non-executive vice-chairman of Tata Consultancy Services Ltd (TCS), is widely tipped to join the board of the Bombay Stock Exchange (BSE) and become chairman of Asia's oldest bourse, according to a source with knowledge of the development, quoted by LiveMint.
The Bombay Stock Exchange (BSE) board is meeting today to decide on the replacement for Jagdish Capoor, who resigned as chairman 2nd March citing health reasons.
Though indifferent health may have been one of the reasons for his resignation, according to sources familiar with the development, quoted by The Financial Express, differences of opinion among the board members, over certain issues, could have played a larger role in Capoor's exit from the BSE. Meanwhile, it remains to be seen whether Capoor would continue to be chairman of HDFC Bank.
The latest rift among board members the sources say comes over the decision of the management to hike its stake in the Central Depository Services Ltd (CDSL) to 51 per cent from 36.6 per cent.
According to a section of the board, making a 100-per cent subsidiary of BSE would end the depository's independent status leading to an exodus of some its members to rival depositories. The CDSL has a membership of 498 depository participants of which around 120 are exclusive members of the National Stock Exchange (NSE).
According to the sources, differences among board members had also arisen on the manner in which the BSE management concluded its deal with Marketplace Technologies Ltd, a firm providing software solutions to the capital market, making it a 100-per cent subsidiary.