Succession battle breaks out in Venu Srinivasan’s family: TVS camps disagree over business division

Deep differences have reportedly emerged within the family of TVS Motor chairman emeritus Venu Srinivasan and industrialist Mallika Srinivasan over the allocation of family assets between their children, Lakshmi Venu and Sudarshan Venu. There are competing claims over whether a settlement has been reached.

According to a report in The Economic Times, the dispute has been ongoing for nearly 18 months, leading to unsuccessful mediation attempts and preparations for a possible legal battle. Venu and his son Sudarshan are aligned, while Mallika and daughter Lakshmi seek changes to the division of assets, according to the report that cited sources familiar with the matter.

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The core of the disagreement is whether the allocation of businesses to the next generation also determines ownership of the family wealth. Lakshmi manages Sundaram Clayton (SCL), the components and die-casting business, while Sudarshan heads TVS Motor Company and TVS Holdings.

The dispute has brought renewed attention to a memorandum of understanding (MoU) signed by the four family members on March 21, 2024. Those close to Venu and Sudarshan say it formalised a division of family assets, with Lakshmi to receive SCL and Sudarshan TVS Motor. However, sources close to Mallika and Lakshmi maintain that the MoU dealt only with brand usage and non-compete clauses, not asset ownership.

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The disagreement has intensified amid a widening valuation gap between the businesses, as per the report. TVS Motor had a market capitalisation of ₹1.83 lakh crore at Thursday’s close, compared with ₹24,000 crore for SCL. TVS Motor’s market value has surged nearly fourfold in three years.

In April 2025, stock exchanges were informed that Sudarshan had become a beneficial owner in TVS Holdings, which owns 50.26% of TVS Motor. People close to Lakshmi said she sought clarification on the transfer but received no response, arguing that management responsibilities cannot automatically translate into ownership.

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Those aligned with Venu and Sudarshan say the arrangement followed a 2020 settlement among four TVS family branches that separated their holding structures. They maintain the subsequent understanding was based on valuations and has been implemented.

Mallika’s side disputes that any economic settlement covering the siblings’ assets was concluded, asserting that both children retain equal rights over Venu’s family wealth.

The dispute follows tensions at Sundaram Clayton earlier this year, when Venu assumed the chairmanship and took a larger governance role while Lakshmi continued to focus on the business.