Tata re­moves Mistry as bev­er­age gi­ant chair­man

Kuwait Times - - BUSINESS -

In­dian con­glom­er­ate Tata re­moved Cyrus Mistry as the chair­man of the tea gi­ant Tata Global Bev­er­ages Lim­ited yes­ter­day, weeks af­ter dump­ing him as group chief in a move that stunned the coun­try’s busi­ness world.

Mistry was un­cer­e­mo­ni­ously sacked last month as chair­man of Tata Sons, the hold­ing com­pany of In­dia’s most fa­mous fam­ily con­glom­er­ate-the $103 bil­lion steel-to-salt Tata Group.

TGBL said in a state­ment to the Bom­bay Stock Ex­change that Har­ish Bhat had re­placed Mistry as the chair­man, af­ter seven out of 10 com­pany di­rec­tors voted for his re­moval dur­ing Tues­day’s board meet­ing. “The board of di­rec­tors re­solved to re­place Cyrus Mistry as Chair­man of the com­pany,”TGBL said.

TGBL is the maker of one of In­dia’s lead­ing tea brands - Tata Tea and Bri­tish Tet­ley Tea and cof­fee brand - Eight O’Clock. Last week, IT gi­ant Tata Con­sul­tancy Ser­vices (TCS), re­moved Mistry as the chair­man of In­dia’s big­gest IT out­sourc­ing firm as com­pany pa­tri­arch Ratan Tata re­asserts his au­thor­ity over the sprawl­ing con­glom­er­ate.

Mistry was sacked on Oc­to­ber 24 with Tata un­happy at the di­rec­tion he was tak­ing the com­pany in. The 78-year-old Tata, who led the group for more than two decades, has taken in­terim charge un­til a suc­ces­sor is found. The pair have traded barbs since Mistry’s ouster, plung­ing the group into bit­ter in­fight­ing with di­rec­tors firmly placed in ei­ther camp.

Re­mov­ing Mistry from var­i­ous boards is not go­ing to be easy how­ever as he is heir to the multi-bil­lion­dol­lar con­struc­tion gi­ant the Shapoorji Pal­lonji Group, which is the largest sin­gle share­holder in Tata Sons, own­ing 18.4 per­cent.

The Tata Group was founded un­der Bri­tish colo­nial rule in 1868. It op­er­ates in more than 100 coun­tries and owns high-pro­file com­pa­nies such as An­glo-Dutch steel firm Corus and Bri­tain’s Jaguar Land Rover. — AFP

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