Changes before the country’s biggest IPO
New Delhi: Tata Trusts Vice Chairman Vijay Singh has resigned from the board of Tata Sons. His resignation comes just before the crucial board meeting to discuss the IPO deadline set by the RBI. Tata Trusts holds a 52% stake in Tata Sons and is the holding company of the Tata Group, which has businesses spread across several sectors .
Reasons for resignation and rules on age limit
Former Defence Secretary Vijay Singh is 77 years old and was a board member on behalf of Tata Trusts. Despite his resignation, he will continue to be a trustee of the trusts. Last year, Tata Trusts had made a rule that board members above 75 years of age would be reviewed every year. Age was considered in this meeting and most of the trustees were in favour of this rule.
The other members of Tata Trusts on the board of Tata Sons are Noel Tata and Venu Srinivasan. Interestingly, Vijay Singh had earlier joined the board in 2013, but had to step down in 2018 after attaining the age of 70. He returned in 2022 as Ratan Tata had removed the retirement limit at that time.
New opportunities and vacancies on the board
With the resignation of Vijay Singh, the tenure of two more board members—former JLRK CEO Ralf Speth and Ajay Piramal of Piramal Enterprises—has also ended. This has opened the way for the appointment of new members. Currently, the board has six members and Tata Trusts have the right to nominate one-third of the members.
In the history of the company, the age limit has been used several times for extension and termination of the term. For example, the age limit for a non-executive director was earlier 70, which was later increased to 75. This is why Ratan Tata remained the chairman for a long time. In the financial year 2025, Vijay Singh received a commission of Rs 3.2 crore from Tata Sons.
The challenge of IPO and the preparation of Tata Capital
This change has come at a time when Tata Sons and Tata Capital are under pressure regarding the IPO. RBI has decided that Tata Capital will have to bring its $ 1.9 billion IPO by the end of this month. However, the company has asked for additional time for this.
Meanwhile, Tata Sons has asked RBI to surrender the license of its core investment company so that it does not have to bring an IPO on its own. It is estimated that Tata Capital’s IPO will be the largest public issue in the country till date. This is considered a historic opportunity for investors in the capital market.
Why is Vijay Singh’s resignation important?
His resignation came ahead of the board meeting in which a major decision was to be taken on the IPO. This indicates a change in the policy and leadership of Tata Trusts.
Why is Tata Capital’s IPO special?
This will be the country’s largest IPO, with an amount of close to $ 1.9 billion. This will give the company a strong financial base and provide huge opportunities to investors.
Other reads:
Tags: #VijaySingh #TataSons #BoardResignation #TataTrusts #CorporateNews #TataGroup #BusinessNews #BoardUpdate #LeadershipChange #CorporateGovernance #IndianBusiness #NomineeDirector #TataResignation #MarketNews #BusinessUpdate #IPO2025 #TataBoard #CorporateStrategy #BusinessLeadership