Leadership Tensions at Tata Sons: A Look Behind the Boardroom Doors
The re-appointment of Natarajan Chandrasekaran as Chairman of Tata Sons is delayed due to conditions set by Tata Trusts Chair Noel Tata. Concerns over losses in group companies and capital expenditure risks led to the hold. Tata Trusts maintain their resolution for Chandrasekaran's extension despite internal differences.
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- India
The re-appointment of Natarajan Chandrasekaran for a third term as Chairman of Tata Sons has been deferred, triggering speculation about internal conflicts. Despite a unanimous resolution last year by Tata Trusts trustees recommending an extension, Noel Tata, Chairman of Tata Trusts, reportedly set conditions that delayed the decision.
Concerns have been raised over losses in some group companies, including Air India, and the risks tied to substantial capital investments in semiconductor and battery projects. Noel Tata also sought assurances against Tata Sons pursuing a stock market listing, sparking debates on boardroom unity.
Though Tata Trusts did not clarify if their unanimous resolution has been revoked, sources indicate it remains valid and was made after careful deliberation. Nonetheless, the incident highlights potential divides within the company, as the Tata Group navigates its wide-ranging business interests in India's economy.