Why Listing Tata Sons Could Redefine Governance at India’s Most Influential Conglomerate

(11.10.2025) Tata Sons, the principal holding company of the Tata Group, holds significant stakes in flagship companies such as Tata Consultancy Services (TCS), Tata Motors, and Tata Power. The Shapoorji Pallonji (SP) Group, owning about 18.37% of Tata Sons, is the second-largest shareholder after the Tata Trusts. Despite this sizable ownership, the SP Group has been unable to monetize its stake because Tata Sons remains an unlisted private company.

The SP Group, burdened with an estimated ₹60,000 crore debt, holds a substantial stake of immense value in Tata Sons. However, since the company’s shares are not publicly traded, the group cannot sell or pledge its holdings easily. In October 2025, the SP Group reiterated its demand for the public listing of Tata Sons, arguing that such a move would enhance corporate transparency, improve governance standards, and allow investors and the public to better understand the decision-making at the core of the Tata empire.

Earlier, in 2020–2021, the SP Group had sought legal intervention to either separate its ownership or initiate a listing of Tata Sons, but the Supreme Court ruled in favor of Tata Sons, confirming that as a private limited company, it cannot be compelled to list. Tata Sons officially became Tata Sons Pvt. Ltd. in 2017, converting from an unlisted public company to a private limited entity.

A Tata Sons IPO would be one of the most significant listings in India’s corporate history, potentially unlocking enormous shareholder value. At the same time, it would represent a strategic shift from the private structure maintained since Jamsetji Tata’s era. While listing Tata Sons could bring greater transparency and accountability, it would also reshape the governance model that has defined the Tata Group for over a century. - Semmal KE