Mumbai, Jul 21 (IANS): Rahul Bajaj has decided to resign as Non-Executive Chairman of Bajaj Finance, following which his son Sanjiv Bajaj will take over the post with effect from August 1.

In a regulatory filing, the company said that its Board of Directors on Tuesday approved the appointment of Sanjiv Bajaj, the Vice Chairman of the company, as the next Chairman.

"Rahul Bajaj, Non-Executive Chairman of the Company, having been at the helm of the Company since its inception in 1987 and the Group for over five decades, as part of succession planning, has decided to demit the office as Chairman of the Board w.e.f. close of business hours on July 31, 2020," it said.

He would, however, continue to serve the company as a Non-Executive Non Independent Director.

Sanjiv, who will head Bajaj Finance starting August 1, also chairs the board of Bajaj Allianz and is the Managing Director of Bajaj Holdings & Investment.

On Tuesday, Bajaj Finance reported a 19.48 per cent fall in its consolidated net profit at Rs 962.32 crore for the quarter ended June 30, on a year-on-year basis.