Wipro's Premji to transfer shares to foundation
Wipro Ltd. Chairman Azim Premji will transfer founders' shares valued at 88.46 billion rupees [$1.95 billion] of the company to a trust participating in non-profit initiatives, probably the highest amount that an Indian billionaire has donated to philanthropic activities.
213 million shares, i. e. about 8.7% of Wipro's total shares will be transferred to Azim Premji Foundation Pvt. Ltd. 7th December onwards.
Premji is one of the unique Indian billionaires who have been committing substantial quantities of funds in different social initiatives in departments like health and education. The Azim Premji Foundation works particularly in the rural areas along with various state governments as partners and aids in improving the quality of education. The foundation is also establishing a university for the poor.
According to Wipro, India's third-largest software services exporter by revenue, Mr. Premji will continue to have the voting rights of the shares transferred to the foundation trust.
However, the transfer of shares will not soon help Mr. Premji and his family to decrease their stake in the company, based in Bangalore, to below 75%, as needed under the latest government rule.
Wipro founders hold 79.36% of the company's stake as on 30th September and Mr. Premji personally a 3.81%.