The board of India's Tata Sons has reportedly approved a fresh five-year term for N Chandrasekaran as executive chairman, reversing his decision last month not to seek reappointment.
The reasons for the change were not immediately clear, Reuters reported, citing a source familiar with the matter on Thursday. HT could not independently verify the report.
An official statement from the company is awaited.
Tata Sons met on Thursday, for the first time after Chandrasekaran decided not to seek a new term, with what an earlier Mint report described as a clear split on the table— Noel Tata, representing majority shareholder Tata Trusts, against chairman Chandrasekaran and the board—over averting a public listing and reassessing the holding company chair’s tenure.
Chandrasekaran's current term is ending on February 20 next year.
Among the other several firsts for the meeting, it took place less than a week after the Reserve Bank of India ordered the holding company of India’s largest group to list on the stock market.
Noel Tata's opposition
Before the meeting, a spokesperson had unequivocally stated: “Please note that there is no change in the stand taken by SDTT (Sir Dorabji Tata Trust) in its board meeting held on 13th August 2026, respecting the decision of Mr Chandrasekaran to not offer himself for reappointment and seeking initiation of steps for appointment of a new chairman, as communicated by the SDTT to the company secretary, Tata Sons on the same day,” Mint reported.
{{/usCountry}}Before the meeting, a spokesperson had unequivocally stated: “Please note that there is no change in the stand taken by SDTT (Sir Dorabji Tata Trust) in its board meeting held on 13th August 2026, respecting the decision of Mr Chandrasekaran to not offer himself for reappointment and seeking initiation of steps for appointment of a new chairman, as communicated by the SDTT to the company secretary, Tata Sons on the same day,” Mint reported.
{{/usCountry}}The report had cited two executives familiar with the situation, who said Noel Tata, who has been outspoken in recent board meetings, was expected to share the Trusts’ views as he did on February 24 when he objected to Chandrasekaran’s reappointment.
He may oppose any proposal to consider another term for Chandrasekaran, just as he did at the last Tata Sons board meeting on 24 February, a senior Tata Group executive was quoted as saying.
Later on Thursday, Reuters and PTI news agency reported that Noel Tata, chairman of Tata Trusts, which along with affiliated trusts controls about 66 per cent of Tata Sons, indeed vote against the reappointment but the resolution was carried by a majority. They reports cited sources.
Announcing his decision to step down in August this year, Chandrasekaran had said in his statement, “I have completed 40 years of professional life at the Tata Group. I am grateful for the immensely satisfying opportunity to contribute to this venerable institution.”
“I have decided not to offer myself for reappointment when my term ends on February 20, 2027,” he had said.