Tata Trusts chairman Noel Tata is set to step down from the boards of six major Tata Group companies on November 12, coinciding with his 70th birthday, in accordance with the conglomerate's retirement policy for non-executive directors.
The development, comes at a sensitive time for the group, with differences emerging at the highest levels over the leadership of Tata Sons and the holding company's proposed stock market listing.
Noel Tata currently serves as non-executive chairman of Trent, Voltas, Tata Investment Corporation, Tata International, Trent Hypermarket and Dubai-based Tata International West Asia DMCC.
He also holds the position of non-executive vice-chairman at Tata Steel and Titan Company and is a director of Inditex Trent Retail India, a joint venture associated with Spanish fashion retailer Inditex.
Noel will maintain his association with Trent Hypermarket, the joint venture between Trent and British retailer Tesco that operates the Star Bazaar and Star Daily supermarket chains. The arrangements governing his other board positions are yet to be finalised.
Importantly, Noel will continue as a Tata Trusts nominee director on the board of Tata Sons, the principal holding company of the Tata Group.
The impending board-level changes coincide with a growing disagreement between Noel Tata and Tata Sons over the continuation of N Chandrasekaran as chairman.
On September 17, the Tata Sons board approved another five-year term for Chandrasekaran through a 4-1 vote, with Noel opposing the resolution.
The dispute resurfaced on October 26 when Noel questioned the validity of the decision, arguing that the reappointment had not been included in the meeting agenda and did not comply with the company's Articles of Association. Tata Sons, however, has maintained that the appointment process was valid.
Another major point of disagreement concerns the proposed listing of Tata Sons.
Noel has opposed the move, while the holding company's board has initiated steps towards regulatory compliance following the Reserve Bank of India's decision regarding its listing requirements.
Tata Trusts, which collectively controls approximately 66% of Tata Sons, remains the group's dominant shareholder.
The upcoming transition will therefore be closely watched for its implications for board representation, corporate governance and leadership stability across India's largest business conglomerate.
