Tata Trusts chairman Noel Tata is strictly against listing the firm by revenue and had informed the board that that he would block any such decision.

Published on: Sep 22, 2026, 16:01:41 IST

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Tata Trusts chairman Noel Tata reportedly suggested a restructuring exercise within the company, including splitting it up into multiple entities. The suggestions were made a board meeting on September 17 and were aimed at preventing the listing of the Tata's holding firm, the said in a report on Tuesday.

This was the same meeting that threw open the differences between Tata Sons and Tata Trusts, which own 65.9% of Tata Sons. Noel Tata is strictly against listing the firm by revenue and had informed the board that that he would block any such decision.

While Noel suggested splitting the firm as an alternative to the listing, there is no clarity on whether the board would accept it.

What RBI wants, why Noel is against listing

According to an RBI regulation framework issued in 2021, some firms were mandated to get listed within three years of identification. Tata Sons was named in the first such list of 16 upper-layer non-banking financial companies (NBFCs) in 2022.

However, Noel Tata wants the company to remain private and Tata Trusts also believes that the move would "destroy its (the company's) character". The Trusts chairman has asked the board to seek at least three years from the RBI, until September 2029, to list.

Despite Noel's objections, the holding company is preparing to begin listing, with February 2027 being the likely target for market debut, ET reported.

The rift between Noel-led Tata Trusts and Tata Sons was visible in the September 17 Tata board meeting. Noel Tata says that the Tata Sons board, led by the late Ratan Tata, had “unanimously” agreed that the company would stay “unlisted.”

Another friction point was the board's “unanimous” vote to re-appoint N Chandrasekaran as executive chairman of the group, a move Noel called a “legal nullity”. He was also the only board member to vote against the decision.

What would restructuring mean?

Restructuring may not necessarily point to only splitting up, but could also include a demerger, moving assets into a subsidiary, a merger, or a broader scheme of arrangement, experts said.

"Implied in the restructuring thought is the assumption that RBI will permit it in the first place, in spite of so much water under the bridge," Ketan Dalal, founder of Katalyst Advisors, was quoted as saying by ET.

Notably, the Shapoorji Palloonji group is backing the Tata Sons' listing and recently urged all Tata Trustees to back the move.

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