Tata Trusts chairman Noel Tata hopes Tata Sons and the Reserve Bank of India will find common ground and reach a solution that helps the holding company avoid a listing.
Speaking at an event hosted by Republic TV on Tuesday, Tata said he would like Tata Sons to review and, if necessary, modify the Trusts’ restructuring proposal to keep the holding company out of RBI’s regulatory framework for the non-banking finance company upper-layer category.
“We would like Tata Sons to engage with RBI as we believe this is a solution which will help us avoid listing,” Tata said.
On Monday, Tata Trusts proposed merger of Tata Consulting Engineers and Tata Electronics Systems Solutions Private Limited with Tata Sons. This would convert Tata Sons from a pure holding company into a holding-plus-operating company. “This is something which is very common among holding companies in India. I hope the RBI will engage with us on the subject. We should be able to find some common ground and hopefully a solution which avoids us from listing,” Tata said.
The issue of listing Tata Sons shares has divided the company’s board and its main shareholder, Tata Trusts.
Tata opposes listing Tata Sons, as it would change the company’s character. The group’s philanthropic mandate could also change, he said.
While its operating companies are meant to earn profit and deliver shareholder returns, Tata Sons also serves a different purpose: dividends from group companies fund its charities, with a focus on education and health. Listing would then expose it to shareholder questions on returns.
Tata said that Tata Sons has also acted as a backstop for all companies, and all lenders and suppliers have taken comfort in the fact that it has stood behind its companies.
“Will an individual shareholder allow us to invest in a company that is trouble,” he asked.
Published on September 30, 2026
