Tata Trusts propose Tata Sons rejig to retain holding company’s private status

Tata Trusts, the majority owner of Tata Sons, have proposed merging two operating companies with the group’s holding company in a restructuring aimed at allowing Tata Sons to shed its regulatory classification as a non-banking financial company and a core investment company, potentially removing the need for a stock-market listing.

The restructuring comes amid a widening disagreement between Tata Trusts and the Tata Sons board over the future ownership and governance of the holding company. At the heart of the dispute is whether Tata Sons should remain an unlisted private company or comply with an RBI framework that could require it to list.