Equitas Small Finance Bank’s board approved Whole-Time Director Balaji Nuthalapadi as interim CEO after Managing Director and CEO P. N. Vasudevan resigned, with the appointment subject to Reserve Bank of India (RBI) approval.
Market reports put Equitas shares up nearly 9% in Wednesday trading. Business Standard reported an 8.8% rise to ₹57.27 on the BSE on Nov. 4. The Economic Times separately reported an intraday high of ₹57.25 on the NSE, with shares up nearly 9%.
Equitas’ Nov. 3 exchange filing says the board approved the appointment following a recommendation from its Nomination and Remuneration Committee. Nuthalapadi’s start date depends on RBI approval, although the regulator may set another date. The filing says he is to serve until a regular managing director and CEO takes office, or until another date approved by the RBI.
The board has begun looking for a permanent successor and will recommend a candidate to the regulator, the filing says. Nuthalapadi has been a Whole-Time Director since March 29, 2025, and has more than 28 years of experience with Citi.
The transition follows Vasudevan’s Oct. 29 resignation, which he said would allow him to pursue personal and social initiatives. In his letter, he said his daughter is a co-promoter of a nonbanking financial company (NBFC) that received an RBI license in 2023. He said Equitas had placed one short-term deposit with the NBFC about two and a half years earlier and that it was repaid at maturity.
Vasudevan also said investors had raised concerns about a perceived conflict of interest. “Sometimes perceptions are stronger than reality,” he wrote. The board said it will decide Vasudevan’s relieving date after the RBI approves Nuthalapadi’s appointment, in consultation with him.
