New Delhi: A boardroom battle at India’s largest conglomerate has escalated after Tata Sons’ directors approved a fresh term for executive chairman N Chandrasekaran in a vote that the group’s biggest shareholder called illegal.
Noel Tata, who chairs the network of charitable trusts holding roughly two-thirds of Tata Sons’ shares, cast the sole vote against extending Chandrasekaran’s tenure by five years. The same meeting saw directors approve preparations for a public listing of Tata Sons – a step Noel Tata also opposes.
Here is a look at who stands where and who controls what in one of the most consequential boardroom battles in the conglomerate’s 150-plus-year history that is expected to trigger a legal challenge over both decisions:
RBI: Has rejected Tata Sons’ request to surrender its Core Investment Company registration. Tata Sons is, therefore, back under the regulatory framework applicable to an upper-layer NBFC, which entails a listing requirement. Tata Sons had standalone assets of Rs 1.75 lakh crore as of March 2025.
Tata Sons board: Has decided to proceed with a public listing rather than challenge the RBI decision.
Shapoorji Pallonji Group: Owns about 18.4 per cent of Tata Sons and has now explicitly backed a listing. Chairman Shapoor Mistry says listing is a matter of transparency and public accountability.
Tata Trusts: Own about 66 per cent and have not agreed to a Tata Sons listing. Chairman Noel Tata has argued that listing could alter the structure and character of the Tata model.
TATA TRUSTS
Noel Tata: Is the principal voice against the listing within the Tata Sons board. He has asked that alternatives to listing be explored.
Venu Srinivasan: The other Tata Trusts nominee on the Tata Sons board, supported the board’s recent decisions.
N Chandrasekaran: He had announced a plan to step down in February amid his boardroom battle with Noel Tata, who wanted, among other things, a commitment from him that Tata Sons will remain private.
Chandrasekaran had in August cited a lack of unanimous board support for an extension as a reason for his decision to step down. Yet on Thursday in a dramatic reversal, he accepted the extension. Noel Tata was the only director to vote against extending his tenure on Thursday.
WHO OWNS TATA SONS
The broad ownership structure: Tata Trusts 66 per cent; Shapoorji Pallonji Group 18.38 per cent; Tata Group companies 12.86 per cent; seven individuals/others 2.87 per cent
The 66 per cent isn’t held by a single legal entity.
– Sir Dorabji Tata Trust (SDTT): 27.98 per cent; Sir Ratan Tata Trust (SRTT) 23.56 per cent – Other Tata Trust entities hold the balance, including JRD Tata Trust (4.01 per cent), Tata Education Trust (3.73 per cent), Tata Social Welfare Trust (3.73 per cent), MK Tata Trust (0.60 per cent), and Sarvajanik Seva Trust (0.10 per cent).
WHO IS ON THE TATA SONS BOARD
The current six-member Tata Sons board is: N Chandrasekaran – Executive Chairman (Backed by board for another five-year term); Noel N Tata – Non-executive director (Tata Trusts chairman; opposed listing); Venu Srinivasan – Non-executive director (Tata Trusts nominee; backed recent board decisions); Saurabh Agrawal – Executive Director/CFO (Backed board resolutions); Harish Manwani – Independent director (Backed board resolutions); Anita Marangoly George – Independent director (Backed board resolutions)
WHERE DOES EACH MAJOR STAKEHOLDER STAND ON LISTING?
Tata Trusts – Against listing. Noel Tata’s argument is essentially that Tata Sons’ structure is what allows the group to take decisions with a long-term public-interest orientation rather than being driven purely by commercial considerations.
His strongest formulation was: “A listing will destroy its character and strike at the heart of this principle”.
The Trusts say Tata Sons’ board had unanimously concluded in March 2024, under Ratan Tata’s guidance, that the company should remain unlisted. They also say SDTT and SRTT reaffirmed that position in July 2025.
Noel Tata has proposed providing liquidity to the SP Group by buying out a portion of its Tata Sons stake.
Shapoorji Pallonji Group – For listing. The SP Group is Tata Sons’ second-largest shareholder. Its chairman Shapoor Mistry says Tata Sons should become publicly accountable and that listing would improve transparency, governance, visibility into value, investor participation, shareholder accountability, and the capacity of Tata Trusts to generate philanthropic resources.
His key line: “The public listing of Tata Sons is not merely a financial or regulatory matter. It is a social and moral imperative”.
“The listing of Tata Sons can become a bridge.”
The SP Group has substantial debt and recently raised about USD 2.25 billion through refinancing backed by Tata Sons shares. Tata Trusts said the SP Group had proposed monetising part of its Tata Sons stake for at least Rs 25,000 crore.
Tata Sons management/board – moving towards listing
The Tata Sons board on September 17 decided to proceed with a listing in response to the RBI position rather than simply challenge the regulator, according to reporting.
