Tata Sons To Go Public? Board Clears IPO Plan, Extends Chandrasekaran’s Tenure

The Tata Sons board has approved a plan to take the holding company public and cleared a five year extension for chairman N Chandrasekaran, according to CNBC TV18. The decisions were taken at a board meeting on Thursday that lasted around three hours, amid continuing tensions over the group’s ownership structure and leadership.

The move to proceed with an initial public offering (IPO) comes days after the Reserve Bank of India (RBI) rejected Tata Sons’ request to surrender its core investment company registration and directed it to proceed with an immediate listing.

The RBI classified Tata Sons as an upper layer non banking financial company in September 2022, requiring it to list within three years. Tata Sons later repaid its debt and sought to remain privately held by surrendering its registration. However, the RBI rejected the request on September 11.

The proposed listing has been a major point of disagreement among Tata Sons shareholders. Tata Trusts, which owns about 66 per cent of Tata Sons, has opposed an IPO. The Shapoorji Pallonji Group, with around 18.4 per cent, has supported a listing, arguing that it could unlock value and improve liquidity.

The board has also approved a five year extension for Chandrasekaran, who has led Tata Sons since February 2017. He was unanimously reappointed for a second five year term in 2022, with his existing tenure originally scheduled to end on February 20, 2027.

The leadership question had become closely linked to the wider disagreement over the group’s direction. Tata Trusts backed Chandrasekaran for a third term in 2025, but the proposal stalled in February 2026 after Trusts chairman Noel Tata raised concerns about businesses including Air India and Tata Digital.

Chandrasekaran subsequently said in August that he would not seek another term. The latest board decision therefore marks a significant shift in the leadership and ownership trajectory of Tata Sons.

The decisions could now set the stage for one of India’s most closely watched corporate listings, while the differences among major shareholders over the company’s future remain significant.