The tenure of Mehli Mistry, trustee of Tata Trusts and a close confidant of Ratan Tata, ends later this month, and his renomination — which appears likely — would make him a life-long trustee of the Trusts, the largest shareholder of Tata Sons, the group’s holding company. Despite recent differences among trustees, the reappointment of Venu Srinivasan to the board of the Sir Dorabji Tata Trust (SDTT) — which, along with the Sir Ratan Tata Trust, holds over 51 per cent in Tata Sons — was approved unanimously, signalling a desire to maintain consensus.

Tata Trusts did not officially respond to queries seeking a formal comment on the same.

While the focus now shifts to the reappointment of Mehli Mistry, whose term ends on October 28, sources familiar with the developments said that is also expected to be a smooth affair. While trustees Noel Tata, Venu Srinivasan and Vijay Singh were earlier reportedly opposed to Mistry’s continuation, Mistry enjoys the support of trustees Pramit Jhaveri, Darius Khambata, and Jehangir H.C. Jehangir. Though there is no indication of a formal rapprochement among the trustees, the reports of Srinivasan’s renomination being cleared as a life-long trustee of Tata Trusts could point to a deal of sorts. At the same time, trustees are learnt to be keen that the situation be carefully managed to prevent any escalation and to maintain consensus.

Both Srinivasan and Mistry will become trustees for life in accordance with a resolution passed in a board meeting on October 17 last year. As per the resolution, any trustee whose tenure expires will be reappointed by the concerned trust without limitation on the period of such reappointment, subject to applicable laws. In effect, trustees are now eligible for life-long appointments. Noel Tata was elected Chairman of Tata Trusts on October 11, 2024, following the demise of Ratan Tata on October 9, 2024. At that time, Mistry had supported Noel Tata’s candidature for the chairmanship.

When asked about his stand on trusteeship, Mistry did not respond to emails and text messages from The Indian Express. During Ratan Tata’s tenure, voting was not an option with decisions traditionally reached through consensus and unanimity.

Tata Sons to be the focus

While their reappointment should come as an immediate relief in the backdrop of simmering tension between the two groups in Tata Trusts, the real war — that of selection of new members on the Tata Sons board — is going to be a tricky affair. The latest flashpoint emerged a month ago when a bloc of four trustees, led by Mehli Mistry, opposed Vijay Singh’s reappointment as nominee director on the board of Tata Sons, the group’s principal holding company. The move triggered an unprecedented split (3-4) within the Tata Trusts — a rare and public sign of discord inside one of India’s most revered corporate institutions. Singh subsequently resigned from the Tata Sons board in the second week of September 2025. Though Srinivasan and Noel Tata supported him, it wasn’t enough for Singh as all Tata Trusts’ decisions need to be unanimous.

In turn, Srinivasan and Tata opposed Mistry’s candidature for Tata Sons board, exposing the deep rift among the trustees. Sources familiar with the developments said there is no possibility of Noel reconsidering his decision to reject Mistry’s bid for a board seat at Tata Sons.

Tata Sons board now has to fill four vacancies after Singh’s exit. The other three slots opened up after the exit of former Jaguar Land Rover CEO Ralf Speth, industrialist Ajay Piramal and independent director Leo Puri. Tata Trusts collectively hold 66 per cent of Tata Sons, making them the most powerful shareholder in the conglomerate. What began as subtle dissonance after Noel’s selection as Chairman, had hardened into two distinct factions, each claiming to uphold the “true spirit” of the Tata legacy.

Both Noel Tata and Venu Srinivasan serve on the Tata Sons board. After the snub he has received, Mistry is unlikely to accept the names proposed by Noel Tata. The names doing the rounds are that of Kotak Mahindra Bank’s founder and Director Uday Kotak and AZB & Partners Co-Founder Bahram Vakil, who joined the board of Tata Investment Corp in March this year. The other name proposed is Tata Steel Managing Director TV Narendran.

Mehli Mistry, Director in the M Pallonji Group and first cousin of the late Cyrus Mistry, was also among the contenders for the Tata Trusts chairmanship after Ratan Tata. Mehli Mistry is also one of the executors of Ratan Tata’s will.

An earlier flashpoint was the listing of Tata Sons, which the Reserve Bank of India had mandated under its “upper-layer” non-banking financial company (NBFC) regulations. Tata Sons had sought deregistration as an NBFC to avoid mandatory listing, arguing that it is not engaged in lending activities. However, the Shapoorji Pallonji (SP) Group, which owns 18.37 per cent in Tata Sons, has been pushing for a listing to unlock value amid financial stress.

The discord comes at a time when Tata group companies have collectively lost an estimated $90 billion in market value over the past year, reflecting investor unease about the ongoing infighting.

Analysts warn that prolonged discord could paralyse decision-making at the top, especially when unity is critical for the group’s next phase of growth. With 29 listed Tata companies together accounting for over $328 billion in market capitalisation, the stakes for corporate India are immense.