The relinquishing of the CEO post by GV Prasad, son-in-law of Dr Reddy’s Laboratories founder K Anji Reddy, will effectively move most of the company’s key executive operations to professionals.

When BusinessLine asked him about the rationale behind the move, Prasad smiled it away, saying: “I am not retiring.”

Prasad was hailed as ‘Mr Dependable’ by Anji Reddy. He has been the face of the family-controlled firm since May 2014, when Anji Reddy’s son K Satish Reddy took over as Chairman. As co-Chairman, MD and CEO, Prasad has been handling business issues while Satish Reddy opted for an industry role for himself.

Even as the family’s second generation appears to be distancing itselft from active roles, the third generation has already stepped in. Prasad’s son-in-law Akhil Ravi joined the firm in 2017 as Regional Head, Europe.

While the promoter group holds a 24.88 per cent in the company, Prasad (Hindu Undivided Family) holds a 0.86 per cent stake.

Since joining Dr Reddy’s as COO last April, Erez Israeli — who is stepping into Prasad’s shoes as CEO from August — has “spearheaded the transformational agenda” of the company.

Ear on the ground

He is supposedly behind the retrenchment of over 100 employees last year citing performance issues and reduction of operational costs. Seen as a tough task master, Israeli is said to have an ear on the ground, routinely visiting plants.

At a time when the company is facing regulatory issues and rather subdued growth in North America, Israeli does have his hands full.

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