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Who is Noel Tata? How did he succeed Ratan Tata as head of Tata Trusts?
Noel Tata, Ratan Tata's half-brother, was appointed head of Tata Trusts. He has a background in various Tata companies and serves as chairman of multiple firms.
Ratan Tata's half-brother, Noel Tata, was appointed on Friday as the head of the powerful philanthropic arm of the Tata Group, giving him indirect influence over the $165 billion conglomerate.
Who is Noel Tata?
• Noel Tata, an Irish citizen, is known for his low-profile approach, focusing on operations rather than being in the public eye. He serves on the boards of several Tata Group companies.
• Noel is the son of Naval Tata and Simone Tata. Naval was previously married to Soonoo Commisariat, with whom he had two children, Ratan and Jimmy Tata. Noel is married to Aloo Mistry, daughter of the late Pallonji Mistry and sister of the late Cyrus Mistry. The couple has three children: daughters Leah and Maya, and son Neville.
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• He started his career at Tata International and later became managing director of Trent in 1999, where he led the expansion of the Westside retail chain.
• Noel is currently the chairman of Trent, Tata International, Voltas, and Tata Investment Corporation. He is also vice chairman of Tata Steel and Titan Company Ltd.
• Since 2019, Noel has been on the boards of the Sir Ratan Tata Trust and Sir Dorabji Tata Trust. His children were appointed trustees of various trusts linked to these foundations in 2023.
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How powerful is Tata Trusts, and does it influence the Tata Group's decisions?
Tata Trusts holds significant power within the Tata Group. It owns 65.9% of Tata Sons Pvt Ltd, the holding company for the Tata Group, while 12.87% is owned by several Tata Group companies, and 18.4% by the Shapoorji Pallonji family. Tata Sons oversees 30 companies across industries like consumer goods, hotels, automobiles, and airlines.
Tata Trusts, an umbrella body managing 14 trusts, controls Tata Sons. Two key trusts, Sir Dorabji Tata Trust and Sir Ratan Tata Trust, own more than 50% of Tata Sons.
While Tata Trusts doesn't directly manage Tata Sons, it wields influence through its appointed executive committee, which was chaired by Ratan Tata. This committee includes Venu Srinivasan, Vijay Singh, and Mehli Mistry. Tata Trusts also appoints a third of Tata Sons' board members, who have veto power over key decisions.
A former adviser noted that Tata Trusts has "without a doubt" exert unparalleled power over Tata Sons' functions, adding that they "work behind a veil."
How Noel Tata was chosen to chair Tata Trusts?
Noel Tata was once considered a potential candidate to lead Tata Sons when Ratan Tata was retiring in 2012. However, his brother-in-law, Cyrus Mistry, was chosen for the role instead. In 2016, following a dispute between Ratan Tata and Mistry, Mistry was ousted as chairman and replaced by Natarajan Chandrasekaran. Mistry died in a car accident in 2022.
Now, Noel Tata was “unanimously” appointed to head Tata Trusts during a meeting held in Mumbai. According to a Tata executive, "many long-time members" of the group supported his appointment to lead the Trusts.
(Inputs from wires)
