Blitz Bureau
NEW DELHI: Tata Sons’ Annual General Meeting (AGM) on August 18 called off due to a lack of quorum for the first time in the holding company’s history that an AGM has been deferred, according to a report.
A report by NDTV Profit — citing sources — said the development was linked to a restriction involving the Sir Ratan Tata Trust (SRTT).
The deferred meeting comes at a time when Tata Sons is preparing for a leadership transition following Chairman N. Chandrasekaran’s decision not to seek another term. His move has triggered the process of identifying a successor, with the Sir Dorabji Tata Trust commencing the search exercise.
The succession process is expected to be closely watched given the influence of Tata Trusts — which collectively hold around 66 per cent of Tata Sons.
As chairman of Tata Trusts, Noel Tata is emerging as a key figure in the selection of the next Tata Sons chairman, the report said.
However, the eventual appointment will be made through a formal committee mechanism laid out in the Articles of Association of Tata Sons, it added.
The leadership transition follows discussions at a Tata Sons board meeting in May where Chandrasekaran outlined the performance, growth prospects and capital requirements of several newer group businesses, including the electronics and aviation segments.
During those deliberations, Noel Tata is understood to have expressed concerns regarding losses at certain businesses.
Noel Tata’s role in the succession process comes as he approaches his own transition across several Tata Group companies.
