Rs 25,000 crore share buyout proposal: Tata Group likely to address Shapoorji Pallonji Group’s liquidity concerns at November 26 board meeting | Exclusive

Rs 25,000 crore share buyout proposal: Tata Sons is considering adding a resolution to the agenda of its November 26 board meeting which will likely address providing liquidity support to debt-laden Shapoorji Pallonji (SP) Group, ET Now has learnt from its sources.

Recently, Tata Trusts Chairman Noel Tata also wrote to the holding company of the salt-to-airline conglomerate, seeking to consider the matter in the upcoming board meeting.

SP Group urged Tata Sons to prioritise proposal to buy back Rs 25,000 crore shares

The SP Group had urged Tata Sons to prioritise a proposal to buy back around Rs 25,000 crore worth of its shares at the holding company’s next board meeting, as the debt-laden conglomerate seeks to unlock funds to repay borrowings, The Economic Times had earlier reported, citing people close to the matter.

The SP Group is seeking to monetise part of its approximately 18.4 per cent stake in Tata Sons, held through Sterling Investments Corporation and Cyrus Investments, with the proceeds earmarked for debt repayment, as per media reports.

Tata Sons board meeting on November 26

Noel Tata is seeking to discuss two key matters at the Tata Sons’ upcoming meeting, sources had told ET Now.

The discussion will be about RBI's September 11 letter and Tata Trusts' reorganisation portal.

Notably, Tata Trusts owns about a 66% equity stake in Tata Sons. Noel Tata is unmoved about wanting to preserve the unlisted status of Tata Sons and hence wants to seek out the next few steps that could be taken. He also wants a management presentation, including legal advice.

In a letter dated September 11, 2026, the Reserve Bank of India informed Tata Sons that after considering its application dated March 28, 2024, and subsequent correspondence, it could not comply with the request for voluntary surrender of the Certificate of Registration (CoR).

The RBI's response is significant for Tata Sons as the company has been seeking to surrender its registration, while maintaining its unlisted status. The latest development means the company will have to consider its options following the regulator's decision. The proposed board discussion is expected to focus on the way forward and the legal aspects involved in the matter.

Noel Tata has called for the meeting under Article 121B of the Articles of Association of Tata Sons, which states that any director of the company can place a matter or resolution before the board for a vote, provided they give at least 15 days' notice to the company secretary and copy the other directors.

Tata Trusts reorganisation

The meeting also comes against the backdrop of Tata Trusts' proposed reorganisation. With the trusts holding around 66% of Tata Sons, decisions concerning the holding structure and the company's regulatory status remain important matters for the group.

The November 26 meeting is expected to provide an opportunity for the board to examine the RBI's communication, consider the available legal advice and discuss the next steps on preserving Tata Sons' unlisted status.