Tata Sons' Leadership Stalemate: Chandrasekaran's Third Term Hangs in Balance

The board of Tata Sons has deferred the reappointment of Natarajan Chandrasekaran as chairman for a third term, amid concerns raised by Noel Tata, chairman of Tata Trusts. Key issues include financial losses in certain group companies and the prospects of listing Tata Sons on the stock market.

The decision to reappoint Natarajan Chandrasekaran as chairman of Tata Sons has been postponed. This development comes as Noel Tata, chairman of Tata Trusts, who controls a significant stake in the company, raised concerns regarding financial losses in some group firms and potential listing obligations.

The deliberations were intense, with Chandrasekaran himself requesting a deferral of the decision. Despite the mixed opinions among board members, he stressed the need for more time to address the issues raised. Chandrasekaran has been pivotal in guiding the conglomerate through significant restructuring and expansion initiatives.

The future of Tata Sons' leadership remains uncertain, as the company navigates regulatory challenges and internal dynamics. Noel Tata's influence, backed by Tata Trusts' majority stake, has emerged as a critical factor in the unfolding scenario, with the next board meeting yet to be scheduled.

(With inputs from agencies.)