Mumbai (Maharashtra) [India], September 17 (ANI): The Board of Tata Sons on Thursday approved the reappointment of N Chandrasekaran as Executive Chairman of the Tata Group for a further five-year term, while also deciding to initiate steps to comply with applicable Reserve Bank of India (RBI) guidelines and seek guidance from the central bank and other stakeholders on compliance requirements. 

The decision was taken at the Tata Sons Board meeting on September 17 after Chandrasekaran agreed to reconsider his earlier decision not to seek another term. The Board approved his reappointment by a majority vote.

According to the statement, "The Board thereafter resolved by a majority vote to re-appoint him as Executive Chairman for a further term of five years upon the expiry of his current tenure." 

The Board also addressed the regulatory requirements arising from the decision, particularly those related to RBI guidelines.

"The Board also resolved to initiate steps to comply with the applicable RBI Guidelines and will seek guidance from RBI, Tata Trusts and other stakeholders on applicable compliance requirements," Tata Sons said in the statement. 

The reappointment follows several months of deliberations. Tata Trusts had unanimously passed a resolution on July 28, 2025, appreciating Chandrasekaran's stewardship of the Group since 2017 and supporting his continuation as Executive Chairman for another five years. 

Subsequently, in September 2025, the Tata Sons Board agreed in principle to reappoint Chandrasekaran and decided to obtain the relevant formal approval in February 2026 in accordance with applicable provisions of law. However, the resolution was deferred in February due to the absence of unanimity and remained unresolved following discussions at Board meetings in May and June. 

Against this backdrop, Chandrasekaran decided on August 12 not to offer himself for reappointment after the expiry of his current term.

However, the Nomination Remuneration Committee (NRC) of Tata Sons met on September 3 to consider his decision and the question of his reappointment.

"After due deliberation and in recognition of his contributions and the larger interests of the Tata Group, the NRC unanimously resolved to request him to reconsider his decision and to recommend him for re-appointment at the next Board meeting," the statement said. 

At Thursday's Board meeting, Chandrasekaran acceded to the request to reconsider his decision, following which the Board approved his reappointment for another five-year term. (ANI)