Tata Sons board will discuss and take a call on Chandrasekaran's successor, says Ratan Tata
By The Economics Times
Tata Sons chairman N Chandrasekaran said on Monday succession is something that the nomination and remuneration committee of Tata Sons and the board, excluding him, will deliberate at the appropriate time.
Tata Trusts chairman Ratan Tata has said any decision regarding succession at Tata Sons will be done after due deliberations by the board.
"I would like to state on record that no one has contacted me with regard to this development or approached me on behalf of Chandrasekaran (Tata Sons chairman) on his second term. I would like to assure shareholders that any decision regarding the succession will be taken after fair and due deliberations by the board of Tata Sons," Ratan Tata said in a statement on Monday.
The statement was in response to a report titled 'Chandra Set for Second Term as Tata Sons Chief', dated July 22.
The article, based on discussions with top Tata group officials, said a second term had been "informally ratified" as Chandrasekaran's performance and conduct had been appreciated by stakeholders. Officials close to the Tata Sons and the Tata Trusts had told ET that the reappointment was a "non-issue" and will
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NSE 2.41 % through.
Queries mailed to Tata and the Tata Sons spokesperson for the July 22 report had not not elicited a response.
Tata Sons chairman N Chandrasekaran said on Monday succession is something that the nomination and remuneration committee of Tata Sons and the board, excluding him, will deliberate at the appropriate time. "No discussion on this has happened with Ratan Tata or the trusts or the board of Tata Sons. Such discussions are first to be tabled to the board before any decisions are taken," he said.
Chandrasekaran's first term ends in February 2022. Tata Sons chairman usually gets a five-year term when selected.
The sales of the Tata group have risen 8% in three years - from Rs 6.54 lakh crore in FY18 to Rs 7.06 lakh crore in FY21. Its net profit has jumped 51% from Rs 21,617 crore in FY18 to Rs 32,677 crore in FY21, with most of the profits coming in from TCS.
