Tata's second-largest shareholder backs listing, deepening dispute

The Shapoorji Pallonji Group, the second-largest shareholder in Tata Sons, has publicly backed a potential listing of the holding company, calling it a "social and moral imperative" to comply with a directive from the Reserve Bank of India. The announcement on September 18, 2026, intensified a public dispute with Tata Trusts, which opposes the move. In a detailed statement, SP Group Chairman Shapoorji Pallonji Mistry welcomed the RBI's decision "wholeheartedly," framing the listing as an opportunity for "reconciliation, renewal and a stronger institutional future." He stated the path forward was clear after the central bank rejected Tata Sons' application to surrender its registration as a core investment company and directed it to comply with listing norms for upper-layer non-banking financial companies. The SP Group's position directly conflicts with that of Tata Trusts, the majority shareholder. According to a statement from Tata Trusts reported on September 17, SP Group had proposed selling a portion of its stake for at least 25,000 crore rupees ($2.6 billion). Tata Trusts Chairman Noel Tata has opposed a share sale and asked the board to explore other options.