Noel Tata proposes Tata Sons reorganization, ₹25,000cr Shapoorji Pallonji payout
Noel Tata has put two major proposals on the table for the Tata Sons board meeting on November 26.
One is a reorganization plan to follow RBI's September 11 letter, and the other is a request from the Shapoorji Pallonji (SP) Group for a hefty ₹25,000 crore payout.
TESS TCE merger, SP seeks ₹25,000cr
The reorganization would merge two companies, Tata Electronic Systems Solutions (TESS) and Tata Consulting Engineers (TCE), into Tata Sons, aiming to shift its status away from being a non-banking financial company.
Meanwhile, SP Group wants to sell back shares worth ₹25,000 crore over 18 months using cash flow and asset sales.
Both moves need tribunal approval and come with conditions like keeping things confidential, and the SP payout proposal requires a full and final settlement of all claims by SP Group entities.