Noel’s appointment as Tata Trusts’ chair signals continuity, BAU: Analysts
Source: Business Standard
On Friday, Noel Tata, was unanimously elected as the chairman of Tata Trusts following the passing of Ratan Tata earlier this week. Tata Sons is the principal investment holding company and promoter of the other Tata group companies.
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Noel is the half-brother of the late Ratan Tata, and was already a key trustee of the Sir Dorabji Tata Trust and the Sir Ratan Tata Trust. Post the appointment, Noel will lead the trusts that hold a controlling stake in Tata Sons. 66 per cent of the equity share capital of Tata Sons is held by philanthropic trusts that support education, health, livelihood generation, and art and culture.
Back in 1991, according to Ambareesh Baliga, an independent market analyst, Ratan Tata had to stamp his presence when he took over from J.R.D Tata and set the house in order, but things are different now, as all businesses are streamlined and are doing well.
At the bourses, meanwhile, Tata group stocks traded mixed post the development. While TCS lost around 2 per cent, reacting mostly to its September 2024 quarter (Q2-FY25) numbers announced a day earlier, Tata Elxsi lost nearly 1 per cent in intra-day deals on Friday.
“I don’t think the head of Tata Son’s or Tata Trusts’ will interfere in the day-to-day working of Tata group companies. Ratan Tata, too, did not interfere during his tenure. Noel Tata is unique and has a lot of business acumen. This is evident from the recent business forays of Trent (where Noel was elevated to the post of chairman in 2014) into lab-grown diamonds. The move into lab-grown diamonds can give a tough competition to the other jewelers that are into original diamonds. All this speaks volumes about his leadership and vision,” said A K Prabhakar, an independent market analyst.
First Published: Oct 11 2024 | 2:54 PM IST
