N Chandrasekaran has decided not to seek another term as Chairman of Tata Sons. His present tenure will end on February 20, 2027.
Chandrasekaran has asked the Tata Sons Board to start the succession process soon. He said an early decision would help ensure a smooth change in leadership.
The decision follows a Board meeting in February 2026. At that meeting, a proposal to extend his tenure for another five years was deferred. There was not unanimous support for the plan.
Chandrasekaran has headed Tata Sons since February 2017. He was given a second term in 2022. He has spent about four decades working with the Tata Group.
The group is now expected to identify his successor over the next few months. People familiar with the matter said candidates from within the group and outside it could be considered.
Chandrasekaran also leads several major Tata companies. These include Tata Steel, Tata Motors, TCS and Indian Hotels. New chairpersons will be required at these companies by February 2027.
His decision comes ahead of important Tata Trusts and Tata Sons meetings. The Tata Trusts meeting is scheduled for August 13. The Tata Sons annual general meeting will take place on August 18.
The next few months will therefore be important for the Tata Group as it prepares for a major leadership transition.