Mumbai (Maharashtra) [India], August 13 (ANI): The Tata Trusts have initiated the process to find a successor to Tata Sons Chairman N Chandrasekaran, a day after he announced that he would not offer himself for reappointment when his current tenure ends on February 20, 2027.
In a statement issued on Thursday, the Sir Dorabji Tata Trust said its trustees have passed a resolution to initiate setting up of a Selection Committee as soon as possible, in accordance with the Articles of Association of Tata Sons. The committee will recommend a person for appointment as the new Chairman of the Board of Directors.
The Trust said it respects Chandrasekaran’s decision and placed on record its appreciation for his contribution to Tata Sons and the Tata Group over the past decade.
“We place on record our deepest appreciation for his contribution and stewardship of Tata Sons and the Tata group over the past decade. We thank him for his immense contribution during a period of significant change, growth and transformation across the Group,” the Sir Dorabji Tata Trust said.
The Trust also said it would support Tata Sons in managing the leadership transition.
“We extend our full support to Tata Sons in ensuring a smooth, timely and orderly transition of leadership, consistent with the values and long-term interests of Tata Sons and the Tata group,” it said.
The development comes a day after Chandrasekaran announced that he would not seek another term as Chairman of Tata Sons.
In his statement on Wednesday, Chandrasekaran said the Sir Dorabji Tata Trust and Sir Ratan Tata Trust had unanimously resolved and recommended the extension of his next term by five years.
The proposal was subsequently recorded and recommended by the Tata Sons Nomination and Remuneration Committee and the Board. It was tabled before the Tata Sons Board on February 24, 2026, but was not carried through after one Board member did not support it.
Chandrasekaran said that in the absence of unanimous support, he had chosen to defer the decision. He added that six months had passed since the Board meeting without a resolution being reached.
He said Tata Sons is a large institution with several strategic projects at critical stages and that clarity on leadership was important for employees, investors, partners and other stakeholders.
“Under these circumstances, earlier today, I have communicated to the Tata Sons Board, that I have decided not to offer myself for reappointment when my term ends on Feb 20, 2027. I have asked the Board to decide on the succession soon to ensure a proper transition,” Chandrasekaran had said.
The Tata Trusts’ latest move now formally puts the succession process in motion. The Trust’s statement does not name any potential successor or set out a timeline for the appointment.
It only says that the Selection Committee will be initiated “as soon as possible” and will recommend a person for appointment as the new Chairman of the Tata Sons Board. (ANI)