Share prices of Noel Tata-linked companies closed higher on Friday, as he was appointed the chairman of Tata Trusts. Tata Trusts, which Ratan Tata headed till his demise earlier this week, holds around 66% stake in Tata Sons, which is the holding entity of the salt-to-software Tata Group.
Shares of Voltas Ltd., Trent Ltd. and Tata Investment Corporation Ltd.—which are headed by Noel Tata—were trading higher during the day as Tata Trusts called a meeting to discuss the succession plans. Tata Steel Ltd. and Titan Co., in which Noel is the vice-chairman, also logged gains.
Following Ratan Tata's death on Wednesday, speculations turned abuzz that Noel Tata could be chosen as his successor by the Tata Trusts.
Tata Trusts, in the meeting held on Friday, unanimously appointed Noel Tata as the next chairman.
Noel, 67, is a member of the board of Sir Dorabji Tata Trust and Sir Ratan Tata Trust—the two most influential entities under the Tata Trusts umbrella—which hold over 50% of the shareholding in Tata Sons.
Noel, who is the half-brother of Ratan Tata, began his career with the conglomerate in the early 2000s. Since 2010, he is heading Tata International Ltd., which oversees the group's global businesses.
Trent, which operates under the chairpersonship of Noel Tata, logged the sharpest gains (Image: NDTV Money)
Voltas share price settled 0.83% higher at Rs 1,791.45 apiece on the NSE, while Trent's stock closed 2.52% at Rs 8,231 per share. Tata Investment Corp. shares closed 1.69% higher at Rs 7,040 apiece, Tata Steel Ltd. advanced 0.71% to Rs 160.85 per share, and Titan gained 0.8% to settle at Rs 3,474.9. This compares to a 0.14% decline in the benchmark Nifty 50.
Noel's standing within the Tata Group is also solidified by his personal ties. His wife, Aloo Mistry, is the daughter of Pallonji Mistry who is the largest individual shareholder in Tata Sons.
Also, Noel's three children—Leah (39), Maya (36), and Neville (32)—were appointed as trustees in five trusts, including those affiliated to Sir Ratan Tata Trust and Sir Dorabji Tata Trust, in May this year.
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