Tata Sons Chairman succession: How will N Chandrasekaran’s successor be selected?
N Chandrasekaran’s decision not to seek another term as Tata Sons chairman has triggered the formal process to find his successor. The Tata Sons Articles of Association lay down a structured selection mechanism involving a five-member committee and the Tata Trusts.
- Aug 13, 2026,
- Updated Aug 13, 2026 1:59 PM IST
The Sir Dorabji Tata Trust has begun the process of selecting a new chairman of Tata Sons after N Chandrasekaran decided not to seek reappointment when his current term ends on February 20, 2027. Chandrasekaran informed the Trust’s nominee directors of his decision on August 12, 2026.
SDTT said its nominee directors received an email from Chandrasekaran on August 12, informing them that he would not seek reappointment when his current term ends on February 20, 2027.
The trustees of the Sir Dorabji Tata Trust have passed a resolution to set up a Selection Committee as soon as possible. The committee will recommend a candidate for appointment as the new chairman of the Tata Sons board, in accordance with the company’s Articles of Association.
“The Trustees of the Sir Dorabji Tata Trust have passed a resolution to initiate the setting up of a Selection Committee as soon as possible in accordance with the Articles of Association of Tata Sons, for the purpose of recommending a person for appointment as the new Chairman of the Board of Directors,” SDTT said in a statement on Thursday.
“We extend our full support to Tata Sons in ensuring a smooth, timely and orderly transition of leadership, consistent with the values and long-term interests of Tata Sons and the Tata group.”
The succession process at Tata Sons is not a conventional corporate appointment. The company’s Articles of Association lay down a formal mechanism involving a Selection Committee, while the Tata Trusts, which collectively hold about 66% of Tata Sons, have significant influence over the process through their ownership and governance rights.
How is the Tata Sons chairman selected?
The key provision is Article 118 of the Tata Sons Articles of Association. It requires a Selection Committee to be constituted as long as the Tata Trusts collectively hold at least 40% of Tata Sons’ paid-up ordinary share capital, Business Standard reported.
The committee has five members:
Three members jointly nominated by the Sir Dorabji Tata Trust and Sir Ratan Tata Trust One member nominated by and from the Tata Sons board One independent outside member selected by the Tata Sons board
The chairperson is chosen by the two Trusts from among their three nominees. A majority of the Trust-nominated members must be present for the committee to conduct business.
Importantly, the committee only recommends a candidate. The formal appointment is made by the Tata Sons board, subject to the voting provisions under Article 121, which provide for the participation of Tata Trust nominee directors in relevant board decisions.
Can the Tata Trusts chairman also head Tata Sons?
No. Tata Sons amended its Articles in 2022 to formally separate the two positions. The chairman of either the Sir Dorabji Tata Trust or the Sir Ratan Tata Trust cannot simultaneously serve as Tata Sons chairman.
This means Noel Tata, who currently chairs Tata Trusts, cannot also become chairman of Tata Sons. The structure separates the interests of Tata Sons’ principal shareholders from the day-to-day leadership of the holding company.
How were previous chairmen selected?
The process has previously involved extensive searches. Before Ratan Tata retired, a five-member committee selected Cyrus Mistry as his successor. Mistry became Tata Sons chairman in December 2012.
After Mistry was removed in 2016, Tata Sons formed another five-member committee, which included Ratan Tata, Venu Srinivasan, Amit Chandra, Ronen Sen and Lord Kumar Bhattacharyya. The committee eventually recommended N Chandrasekaran, then CEO of Tata Consultancy Services. The Tata Sons board appointed him executive chairman in January 2017, and he took charge on February 21, 2017.
Why Article 118 matters
The chairman-selection mechanism also became central to the legal dispute between Cyrus Mistry and the Tata Group. In its March 2021 judgment in Tata Consultancy Services Ltd v Cyrus Investments Pvt Ltd, the Supreme Court examined Article 118 and upheld the Tata Sons board’s decision in the Mistry case.
What happens next?
With Chandrasekaran choosing not to seek reappointment, Tata Sons will now initiate the Article 118 process. A five-member Selection Committee will evaluate candidates and recommend one for chairman. The Tata Sons board will then make the formal appointment, subject to the applicable voting requirements.
The Sir Dorabji Tata Trust has begun the process of selecting a new chairman of Tata Sons after N Chandrasekaran decided not to seek reappointment when his current term ends on February 20, 2027. Chandrasekaran informed the Trust’s nominee directors of his decision on August 12, 2026.
SDTT said its nominee directors received an email from Chandrasekaran on August 12, informing them that he would not seek reappointment when his current term ends on February 20, 2027.
The trustees of the Sir Dorabji Tata Trust have passed a resolution to set up a Selection Committee as soon as possible. The committee will recommend a candidate for appointment as the new chairman of the Tata Sons board, in accordance with the company’s Articles of Association.
“The Trustees of the Sir Dorabji Tata Trust have passed a resolution to initiate the setting up of a Selection Committee as soon as possible in accordance with the Articles of Association of Tata Sons, for the purpose of recommending a person for appointment as the new Chairman of the Board of Directors,” SDTT said in a statement on Thursday.
“We extend our full support to Tata Sons in ensuring a smooth, timely and orderly transition of leadership, consistent with the values and long-term interests of Tata Sons and the Tata group.”
The succession process at Tata Sons is not a conventional corporate appointment. The company’s Articles of Association lay down a formal mechanism involving a Selection Committee, while the Tata Trusts, which collectively hold about 66% of Tata Sons, have significant influence over the process through their ownership and governance rights.
How is the Tata Sons chairman selected?
The key provision is Article 118 of the Tata Sons Articles of Association. It requires a Selection Committee to be constituted as long as the Tata Trusts collectively hold at least 40% of Tata Sons’ paid-up ordinary share capital, Business Standard reported.
The committee has five members:
Three members jointly nominated by the Sir Dorabji Tata Trust and Sir Ratan Tata Trust One member nominated by and from the Tata Sons board One independent outside member selected by the Tata Sons board
The chairperson is chosen by the two Trusts from among their three nominees. A majority of the Trust-nominated members must be present for the committee to conduct business.
Importantly, the committee only recommends a candidate. The formal appointment is made by the Tata Sons board, subject to the voting provisions under Article 121, which provide for the participation of Tata Trust nominee directors in relevant board decisions.
Can the Tata Trusts chairman also head Tata Sons?
No. Tata Sons amended its Articles in 2022 to formally separate the two positions. The chairman of either the Sir Dorabji Tata Trust or the Sir Ratan Tata Trust cannot simultaneously serve as Tata Sons chairman.
This means Noel Tata, who currently chairs Tata Trusts, cannot also become chairman of Tata Sons. The structure separates the interests of Tata Sons’ principal shareholders from the day-to-day leadership of the holding company.
How were previous chairmen selected?
The process has previously involved extensive searches. Before Ratan Tata retired, a five-member committee selected Cyrus Mistry as his successor. Mistry became Tata Sons chairman in December 2012.
After Mistry was removed in 2016, Tata Sons formed another five-member committee, which included Ratan Tata, Venu Srinivasan, Amit Chandra, Ronen Sen and Lord Kumar Bhattacharyya. The committee eventually recommended N Chandrasekaran, then CEO of Tata Consultancy Services. The Tata Sons board appointed him executive chairman in January 2017, and he took charge on February 21, 2017.
Why Article 118 matters
The chairman-selection mechanism also became central to the legal dispute between Cyrus Mistry and the Tata Group. In its March 2021 judgment in Tata Consultancy Services Ltd v Cyrus Investments Pvt Ltd, the Supreme Court examined Article 118 and upheld the Tata Sons board’s decision in the Mistry case.
What happens next?
With Chandrasekaran choosing not to seek reappointment, Tata Sons will now initiate the Article 118 process. A five-member Selection Committee will evaluate candidates and recommend one for chairman. The Tata Sons board will then make the formal appointment, subject to the applicable voting requirements.