Tata Sons extends N Chandrasekaran's term as chairman but a battle looms

Share Save Add as preferred on Google Sharanya Hrishikesh BBC News, Delhi Getty Images N Chandrasekaran was named the Tata group's chairman in 2017 Tata Sons said that N Chandrasekaran will be reappointed as chairman "for a further term of five years", setting the stage for a showdown between the board and its majority shareholder.

Chandrasekaran had said last month that he would not seek reappointment when his term ended in February after the company's board could not reach a resolution on his extension.

On Thursday, the board said in a statement that Chandrasekaran agreed to its "request to re-consider his decision" and would be reappointed after his term expired.

However, Noel Tata, chairman of Tata Trusts, which owns 66% of Tata Sons, called the reappointment "illegal", indicating uncertainty ahead for the gigantic group.

News of Chandrasekaran's reappointment sent shares of listed Tata companies soaring.