Tata Sons reverses course, reappoints Chandrasekaran as chairman for another 5 yrs

board has approved a fresh five-year term for

, reversing his decision last month not to seek reappointment, according to sources cited by Reuters and news agency ANI.

The reappointment was approved at a Tata Sons board meeting held in Mumbai on Thursday. Chandrasekaran’s current five-year term is due to end in February 2027.

The latest development comes after the Reserve Bank of India rejected Tata Sons’ application to surrender its registration as a non-banking financial company (NBFC) on September 11, reviving the regulatory requirement for the company to pursue a listing.

Tata Sons was classified by the RBI as an “upper layer” NBFC in September 2022 under its scale-based regulatory framework, a designation that required the company to list within three years. The deadline lapsed in September 2025 while its application to deregister as a core investment company remained pending.

Chandrasekaran had said last month that he would not seek another term. His decision had triggered discussions within Tata Sons over succession and the future leadership of the conglomerate.

Reappointment comes after succession debate

The development comes after Tata Trusts had signalled interest in a change at the top.

Tata Trusts chairman Noel Tata had wanted the Tata Sons board to formally begin the process of finding a successor to Chandrasekaran, whose current term ends on February 20, 2027.

According to the sources, Noel Tata believed Chandrasekaran’s decision not to seek another term should stand. Sir Dorabji Tata Trust had also indicated the need to constitute a selection panel to identify Chandrasekaran’s successor.