NEW DELHI: Tata Trusts chairman Noel Tata on Saturday said listing Tata Sons will “fundamentally change” the group’s way of working. He stressed that its largest owner will play a “constructive role” in engaging with regulators to retain the conglomerate’s unlisted character.
While speaking at a summit here, he said: “My worry is that listing, which is what some people are proposing, will change the Tata way.”
“And one day, if we have 30,000-40,000 shareholders, profit may take precedence over philanthropy. And I think that will fundamentally change the Tata way of working,” Noel said.
“Tata Trusts will play a constructive role with regulators and others to try and find a solution which keeps the Tata way the way it is,” he added.
The ‘Tata way’ represents continuity, the half-brother of Ratan Tata who took over the reins of Tata Trusts after the death of the group’s more charismatic leader, said, adding that an owner cannot die, retire or be bought in the model.
The comments come at a time when ruptures at the top echelons of the country’s largest conglomerate are out in the open. Noel-led Tata Trusts, which owns two-thirds stake in the holding company Tata Sons, is opposed to a listing, while the management of Tata Sons led by chairman N Chandrasekaran says it will have to follow the law of the land and list as per the RBI’s instructions.
(With inputs from agencies)