Tata Trusts on Thursday initiated the process to identify the next chairman of Tata Sons after incumbent N Chandrasekaran decided not to seek reappointment when his current term ends in February 2027.
The Sir Dorabji Tata Trust (SDTT) — the principal shareholder in Tata Sons through Tata Trusts — said its trustees have passed a resolution to constitute a Selection Committee that will recommend a successor in accordance with the Tata Sons Articles of Association.
The Trust said the process would be commenced as soon as possible to facilitate an orderly leadership transition at the holding company of the Tata Group.
In a statement, the SDTT said it respected Chandrasekaran’s decision and placed on record its appreciation for his leadership of the group.
It would support Tata Sons in ensuring a “smooth, timely and orderly transition of leadership” in keeping with the long-term interests and values of the group, according to the SDTT.
The decision comes a day after Chandrasekaran informed the Tata Sons board that he would not offer himself for another term, bringing clarity to a succession issue that had remained unresolved for several months.
Chandrasekaran — who has spent 40 years with the Tata Group — announced on Wednesday that he would step aside at the end of his current term despite having received the backing of the Sir Dorabji Tata Trust and Sir Ratan Tata Trust for a further five-year extension.
According to Chandrasekaran, both trusts had unanimously recommended renewal of his tenure, a proposal that was subsequently endorsed by the Tata Sons Nomination and Remuneration Committee and the company’s board.
However, the proposal placed before the Tata Sons board on February 24, 2026, did not secure unanimous support after one director declined to back it.
He said that with Tata Sons currently executing several strategic initiatives, stakeholders required clarity over leadership beyond February 2027.
Chandrasekaran took over as chairman of Tata Sons in January 2017 after leading Tata Consultancy Services as its Chief Executive Officer and Managing Director. He began his Tata career as an intern at TCS in 1987 and rose through the ranks before assuming leadership of the $300-billion-plus conglomerate.
