Tata Sons' board meeting: The board meeting of Tata Sons held yesterday was largely about presentations made by the business heads of the conglomerate’s loss-making ventures. This included aviation, batteries, electronics, e-commerce and semi-conductors. The last meeting held in February saw Noel Tata, Tata Sons’ board member and also Tata Trusts’ Chairman, raise concerns on the high-capex commitment into these ventures plus the fact they were in the red. Air India alone is expected to record losses of around $3 billion for the 2026 fiscal.
Here are a few critical issues at this point in time:
Reappointment of N Chandrasekaran as Tata Sons’ Chairman: Chandra, as he is known, took charge in February 2017 and after two renewals, will see his term end in February 2027. At the last board meeting, this decision was deferred. The primary reason was Noel Tata asking questions on the strategic direction of the loss-making businesses. Yesterday’s meeting outlined a broad plan for the next 3-5 years. Now, the script shifts to June 12, the day of the next Tata Sons’ board meeting, when this could again be discussed. Coming to Chandra’s reappointment, there is still time and legal experts think any decision around that does not necessarily need to taken now. “The meeting yesterday was meant to give an assurance to Noel Tata on the loss-making businesses and the way forward for them,” says tax lawyer, Homi Ranina.
Options for reappointment: Chandra has had two five-year terms as Tata Sons’ Chairman. There are a few possibilities at this stage. One is another five-year term or till Chandra turns 65 in 2028. Given that the decision-making process must be unanimous in spirit, how it plays out promises to be interesting. Besides, Tata’s concerns at February’s board meeting and the one yesterday is likely to determine that big decision. The other part is that Tata Sons’ financial numbers for the 2026 fiscal are not out yet. That will reveal the extent of losses at each of the high-profile businesses, that will also need capex for the next few years at least
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The Tata Trusts piece: The last two meetings of Tata Trusts, that holds two-thirds of Tata Sons, have not taken place. It is important since the reappointment of Venu Srinivasan, TVS Motor’s Chairman Emeritus, is to come up. He, along with Tata, are the trust nominees on the board of Tata Sons. Over the past few weeks, his reappointment to two smaller trusts did not go through, with Tata not voting in favour of one. Plus, the contentious issue of Tata Sons’ listing is a big area of disagreement between the two. In that backdrop, Srinivasan’s reappointment is critical.
Clearly, the battle at Tata Sons or Tata Trusts is far from being done.
Published on: May 27, 2026 8:44 AM IST
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