New Delhi/Mumbai — The surprise removal of Tata Sons’ chairman Cyrus Mistry and his advisory team, and the temporary return of Ratan Tata, could distract the salt-to-software conglomerate from ongoing efforts to trim debt and reshape some of its businesses. The boardroom coup, announced late on Monday, sent shares in some of Tata’s listed companies lower on Tuesday, though the reinstatement of the widely respected Ratan Tata as interim chairman probably helped ease investor concerns. "When Mistry was there, some actions were being taken at a group level which would have helped reduce the company’s cash-drain activities," said Daljeet Singh Kohli, research head at broker IndiaNivesh. "There was hope that rational, rather than more emotional decisions would prevail." Some analysts expect uncertainty at Tata may stall some ongoing initiatives, such as the search for a partner for Tata Steel’s struggling UK assets. "Under Mistry, Tata Group have taken significant steps towards deleverag...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.