Consumer goods giant Reckitt Benckiser signs-up former PepsiCo exec Laxman Narasimhan to be its new boss
- He will join as a board director on 16 July, before taking the helm in September
- Mr Narasimhan will earn an annual salary of £950,000 plus bonuses
- He is moving from the US to the UK and will get a relocation benefits package
Consumer goods giant Reckitt Benckiser has nabbed the chief commercial officer of PepsciCo as its new chief executive.
PepsiCo’s Laxman Narasimhan will take over as Reckitt’s chief executive from departing boss Rakesh Kapoor in September.
Mr Narasimhan, who will earn an annual salary of £950,000, will initially join as CEO-designate and be appointed to the board as an executive director on 16 July, before taking the helm in September.
New boss: PepsiCo’s Laxman Narasimhan will take over as Reckitt’s chief executive
As the incoming boss is moving from the US to the UK to take the job, Reckitt said he will also be ‘eligible for relocation benefits.’
Commenting on the other benefits Mr Narasimhan will receive, Reckitt said: ‘He will receive a pension allowance of 10 per cent of salary in line with the wider RB workforce in the UK, and other benefits in line with RB Policy.
‘He will be eligible to participate in the Company’s existing annual bonus plan with a target of 120 per cent of salary; in line with our Remuneration Policy this has a maximum of 3.57 times and with one-third of any bonus deferred into RB shares for a period of three years.
‘He will receive an initial LTIP grant of 75,000 shares and 150,000 options, for the three-year performance period 2019-2021, followed by a two-year holding period.’
Reckitt said Mr Narasimhan will be tasked with delivering a strong performance, particularly in the firm’s health business arm, and driving the company’s reorganisation programme, which has seen it separate its health and hygiene units.
Prior to his current role, Mr Narasimhan led food and drink business PepsiCo’s operations in Latin America, Europe and Sub-Saharan Africa.
Before joining PepsiCo, he served as a director for management consultancy McKinsey & Company, spearheading its digital consumer research.
Moving on: Reckitt’s current boss Rakesh Kapoor is leaving the firm in September
Shares: Shares in Reckitt are down 0.18 per cent or 11.50p to 6,383.50p
Chris Sinclair, chairman of the company board, said: ‘Laxman is an outstanding leader who brings wide experience across the consumer goods sector, both operationally at scale and from his time at McKinsey.
‘He has led complex operational businesses and inspired teams across developed and emerging markets to achieve market-leading performance.
‘Laxman has exceptional strategic capabilities and consumer insight with a proven track record in developing purpose-led brands and driving consumer-centric and digital innovation.”
Mr Narasimhan said: ‘I’m looking forward to working with an exceptional group of leaders over the coming years to continue to transform RB.’
Outgoing boss Mr Kapoor revealed plans to hand over the reins at the company in January after eight years.
Shares in Reckitt, which owns the Durex and Strepsils brands, are down 0.18 per cent or 11.5p to 6,383.5p this morning.