Tata Sons chairman N Chandrasekaran steps down ahead of key shareholder vote
Tata Group shares fall after leadership shake-up at the conglomerate’s holding company
Mumbai: Natarajan Chandrasekaran has stepped down as chairman of Tata Sons Pvt. ahead of a contentious annual shareholder vote, according to a person familiar with the matter, throwing the salt-to-software conglomerate into uncertainty at a time when it’s spearheading the country’s push into high-tech sectors.
His decision comes ahead of Tata Sons’ annual general meeting scheduled for Aug. 18, with questions over whether the holding company had the necessary quorum to hold the meeting. Shareholders were set to vote on Chandrasekaran’s reappointment as director — a legal requirement for him to continue as chairman.
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He has resigned and will serve out the remainder of his term until February 2027, said the person, who asked not to be identified citing rules.
A spokesperson for Tata Sons did not immediately comment on Chandrasekaran’s resignation.
Shares of Tata Group companies dropped in Mumbai trading, with the conglomerate’s biggest company Tata Consultancy Services Ltd.’s stock extending a fall to as much as 5.1%
Chandrasekaran’s reappointment was clouded by opposition from Noel Tata, chairman of Tata Trusts — the controlling shareholder of Tata Sons — and questions over whether one of the trusts can participate in selecting Tata Sons board members, the Economic Times reported earlier in the day.
