Tata Group shares fall following leadership change at conglomerate’s holding company.
Mumbai: Natarajan Chandrasekaran has stepped down as chairman of Tata Sons Pvt. ahead of a closely watched annual shareholder vote, according to a person familiar with the matter, creating fresh uncertainty for the salt-to-software conglomerate as it takes a leading role in India’s push into high-tech industries.
His resignation comes ahead of Tata Sons’ annual general meeting on Aug. 18, amid questions over whether the holding company had secured the quorum required to convene the meeting. Shareholders were due to vote on Chandrasekaran’s reappointment as a director, a legal requirement for him to remain chairman.
Chandrasekaran has resigned but will remain in the role until the end of his current term in February 2027, according to the person familiar with the matter, who asked not to be identified due to the sensitivity of the issue.
A Tata Sons spokesperson did not immediately respond to requests for comment on his resignation.
Shares of Tata Group companies fell in Mumbai trading, with Tata Consultancy Services Ltd., the conglomerate’s largest company, extending its decline to as much as 5.1%.
Chandrasekaran’s reappointment had faced opposition from Noel Tata, chairman of Tata Trusts, the controlling shareholder of Tata Sons. Questions have also emerged over whether one of the trusts is eligible to participate in the selection of Tata Sons board members, the Economic Times reported earlier in the day.
