Rakesh Sachdev
REGAL REXNORDAbout Rakesh Sachdev
Rakesh Sachdev (age 69) is the independent Chairman of Regal Rexnord’s Board and a director since 2007. He is a seasoned operator and former public‑company CEO/CFO with deep experience across chemicals, life sciences, and industrials; he holds engineering degrees (IIT Delhi; University of Illinois) and an MBA (Indiana University) . The Board has affirmatively determined he is independent under NYSE standards .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| Axalta Coating Systems | Interim CEO; now Non‑Executive Board Chair | Interim CEO Aug–Dec 2022; Director since 2020; Board Chair since Jan 2023 | Leads board; oversaw 2024 board evaluation interviews as Chair |
| Platform Specialty Products (Element Solutions Inc.) | CEO; Director | 2016–2019 CEO; Director 2016–2020 | Led specialty chemicals portfolio |
| Sigma‑Aldrich Corporation | President & CEO; earlier CFO | CEO 2010–2015; CFO 2008–2010 | Led global life sciences company through sale to Merck KGaA |
| Meritor; Cummins | Various executive roles (strategy/finance/GM; international leadership) | Prior to 2008 | Built operating and financial expertise |
External Roles
| Organization | Role | Since | Committees/Notes |
|---|---|---|---|
| Axalta Coating Systems (AXTA) | Non‑Executive Board Chair | 2023 (Director since 2020) | Board Chair; leads board processes |
| Edgewell Personal Care (EPC) | Director | 2015 | Chair, Human Capital & Compensation; member, Corporate Governance |
| Herc Holdings (HRI) | Director | 2021 | Director (committee roles not specified in public profile page) |
| New Mountain Capital | Senior Advisor | 2019 | Private equity senior advisor |
Board Governance
- Board role: Independent Chairman since the 2019 annual meeting; CEO and Chair roles are separated; independent directors meet in executive session regularly .
- Committee assignment: Member, Compensation & Human Resources Committee (CHRC), which met 5 times in 2024; the CHRC uses an independent consultant (Meridian) and oversees incentive plans, succession, and leadership development .
- Independence and attendance: Board determined he is independent; all directors attended at least 75% of Board and committee meetings in 2024; all directors then serving attended the 2024 annual meeting .
- No compensation committee interlocks: The CHRC (Hilton, Doss, Sachdev) reported no interlocks .
- Related party transactions: None in 2024 under the company’s related person policy .
Fixed Compensation (Director)
| Component | Amount/Terms | 2024 Amount for Sachdev |
|---|---|---|
| Annual cash retainers | $110,000 director retainer; +$170,000 Chairman retainer; committee chair retainers: Audit $25k, CHRC $20k, CG&S $15k | $276,250 cash paid (Chairman) |
| Equity (annual RSUs) | Time‑based RSUs with grant date fair value ~ $170,000 | $170,016 stock awards (FY2024) |
| Total FY2024 director comp | Cash + equity | $446,266 total |
Policy notes: Non‑employee directors received 1,056 RSUs on May 9, 2024 (for those serving at the April 23, 2024 annual meeting) .
Performance Compensation (Director Equity Grants)
Directors receive time‑based RSUs; there are no performance metrics attached to director equity awards.
| Grant Type | Grant Date | Shares/Units | Vesting | Grant-Date Value |
|---|---|---|---|---|
| Annual RSU (Director) | 2024‑05‑09 | 1,056 | Not disclosed (time‑based) | ~$170,000 aggregate value per director cohort |
| Annual RSU (Director) | 2025‑05‑09 | 1,286 | Not disclosed (time‑based) | Form 4 shows 1,286 “A” award at $0 (annual director grant) |
Other Directorships & Interlocks
- Current public company boards: Axalta (Non‑Exec Chair), Edgewell (HC&CC Chair), Herc Holdings (Director) .
- At RRX, no compensation committee interlocks were reported (CHRC: Hilton, Doss, Sachdev) .
Expertise & Qualifications
- Public‑company CEO/CFO experience; operating P&L leadership; manufacturing & supply chain; M&A; ESG; international; digital/e‑commerce; human capital; relevant industry knowledge .
- Education: B.S. Mechanical Engineering (IIT Delhi), M.S. Mechanical Engineering (University of Illinois), MBA (Indiana University) .
Equity Ownership
| As of 2025‑03‑10 | Beneficial Shares | RSUs Outstanding | Notes |
|---|---|---|---|
| Rakesh Sachdev | 24,976 | 1,063 | From management & directors ownership table (less than 1% of shares outstanding) |
Policy alignment:
- Director stock ownership guideline: within five years, own Company stock valued at ≥5x annual cash retainer; all directors are currently in compliance .
- Hedging/pledging: Prohibited for directors under the Insider Trading Policy .
Insider Trades (Form 4 Snapshot, 2024–2025)
Source: Form 4 feed (post‑transaction holdings shown in Form 4 data); no open‑market buys/sells observed in this window; awards are consistent with annual RSU grants and dividend equivalent credits for a director [insider‑trades JSON].
Governance Assessment
Strengths
- Independent Chair with deep operating and financial expertise; Board confirms independence; separation of Chair/CEO roles supports oversight .
- Active on CHRC; committee uses independent consultant; robust clawback policies (Dodd‑Frank “no‑fault” plus supplemental misconduct recovery) .
- Strong shareholder support for pay framework (2024 say‑on‑pay >98% approval), indicating positive investor sentiment toward compensation governance .
- Director ownership guideline (5x retainer), no hedging/pledging, and current compliance enhance alignment; no related person transactions in 2024 .
Watch‑items / potential overboarding risk mitigant
- He serves on multiple external public boards (and is Chair at Axalta), which can raise time‑commitment questions; however, the company states there are no “overboarded” directors under ISS/Glass Lewis and he met attendance expectations in 2024 .
- As CHRC member, he influences executive pay; the Board reports no interlocks and employs independent advice, which reduces conflict risk .
Signals affecting investor confidence
- Board refresh in February 2025 (added two independent directors) under his Chairmanship suggests ongoing attention to skills mix and oversight depth .
- Clear risk oversight structure and regular executive sessions support board effectiveness .
Policy/Process Notes Relevant to Conflicts and Alignment
- Related‑party review policy with annual monitoring; none identified for 2024 .
- Director compensation mix includes equity; 2024 compensation split: $276,250 cash retainer as Chair and $170,016 RSUs; annual director RSUs granted (1,056 in 2024; 1,286 in 2025 per Form 4) promoting alignment .
Notes on RRX Board/Shareholder Votes
- 2025 annual meeting proposals (directors, say‑on‑pay, auditor) were presented per proxy; company highlights 2024 say‑on‑pay of >98% support; third‑party report indicates 2025 items were approved, though the proxy does not disclose 2025 percentages in the filing excerpts cited here .