India Inc set for board refresh as grandfathering period ends soon

About 400 independent director posts at 198 companies are required to be replenished by March 2024

India Inc will soon begin a search for nearly 400 new independent directors as the 10-year grandfathering period to replace the existing long-tenured directors nears its end.
 

Under the Companies Act, 2013, an independent director can serve a maximum of two terms of five years each. However, directors who had already served the maximum term as of the date of the Act’s amendment were granted an additional 10 years – known as the grandfathering period – to step down from their positions. This period ends on March 31, 2024.
 

According to an analysis by corporate governance and voting advisory firm