Fremont, Calif.-based iGATE Corporation (NASDAQ: IGTE) gets a new CEO next week.
On Wednesday, iGATE announced it has named Ashok Vemuri to replace interim CEO Gerhard Watzinger as president and permanent chief executive officer effective September 16, 2013. Watzinger will remain with iGATE briefly thereafter to assist with the transition.
Vemuri comes to iGATE from Indian outsourcer Infosys, where he served as a director and also as head of the Americas unit and global head of manufacturing and engineering.
His new title notwithstanding, in one sense at least, this is a step down for Vemuri. At Infosys, he was responsible for a business running $4.7 billion in revenues and Infosys's biggest business unit. At iGATE, although he will run the whole show, he will perform under a smaller tent -- just $1.1 billion in companywide revenues.
Commenting on the hire, iGATE highlighted Vemuri's experience at a big revenue operation as one thing that recommended the candidate: "Ashok brings a tremendous track record of success and accomplishments working across a range of businesses at Infosys, where he was directly responsible for driving growth for numerous multi-billion dollar businesses. He is a talented and established leader, and the Board has great confidence in his ability to drive iGATE to continued growth into the future."
Investors seem to share the confidence. After notching a 2.2% gain on Wednesday, iGATE shares gained an additional 2% in after-hours trading after the CEO announcement.
