Cyrus Mistry death: Road ahead for $30B Shapoorji Pallonji Group
The 157-year-old Shapoorji Pallonji Group was dealt a significant blow on Sunday as its youngest scion Cyrus Mistry passed away in a car accident. This tragic news comes on the heels of the group patriarch Pallonji Mistry's death in late June. The $30 billion SP Group has diversified interests and employs over 50,000 people worldwide. So, what lies ahead for the company?
SP Group enjoys an 18.6% stake in Tata
Pallonji Mistry, the great grandfather of Cyrus, founded the Shapoorji Pallonji Group in 1865. At that time, it was known as Littlewood Pallonji & Co. The conglomerate's interests include engineering, construction, and real estate. It has employees in over 50 countries. It has an 18.6% stake in the $130B Tata Group. A feud between the two started after Cyrus's ouster from Tata in 2016.
SP Group left the solar power business in 2021
SP Group enjoyed a stake in Eureka Forbes (known for its water purifiers) earlier. However, it sold its share to Lunolux for Rs. 4,400cr in September 2021. It also let go of its share in Sterling & Wilson Solar Power to Reliance Industries last year.
Who controls the business now?
In 2012, the company's reigns were handed over to Cyrus's elder brother Shapoor Pallonji Mistry. The management underwent further changes in 2019 when Shapoor's son Pallon joined the board of the firm's holding company, while daughter Tanya took over the corporate social responsibility (CSR) projects. The duo has been tasked to help the organization with digitalization and ensure better communication with the shareholders.
A look at the company's famous projects
SP Group—India's oldest construction engineering company—built a reservoir on Malabar Hill, Mumbai. It has been supplying water to the city since then. The Mumbai Central Railway Station, Brabourne Stadium in Mumbai, and Jawaharlal Nehru Stadium in New Delhi are among its famous projects. The group has also built the Reserve Bank of India's headquarters, BSE Towers, Atal Tunnel, and the first Kolkata Metro tunnel.
A look back at Cyrus Mistry's life
Cyrus is survived by his wife Rohiqua and children, Firoz and Zahan. In December 2012, he was appointed the chairperson of Tata Sons, and he withdrew from his family business to avoid a conflict of interest. Under Cyrus's watch, the Tata Group grew by a compound annual growth rate (CAGR) of 12.5%. He left the conglomerate with an overall turnover of over $100 billion.