SP Group Seeks Fair Value for 18.4% Tata Sons Stake to Ease Rs 55,000-60,000 Crore Debt

The Shapoorji Pallonji (SP) Group, which owns 18.4% of Tata Sons, is seeking a fair valuation for a partial or complete exit from the holding company and is open to either a share buyback or a listing, Financial Express reported, citing people familiar with the Mistry family's thinking. The group's total debt is estimated at Rs 55,000-60,000 crore.

SP Group's Tata Sons Exit Options

Tata Sons is the principal investment holding company and promoter of the Tata Group, founded in 1868 and headquartered in Mumbai, overseeing more than 30 operating companies across ten verticals. The Mistry family is not taking sides in the dispute between Tata Trusts and Tata Sons over chairman N Chandrasekaran's reappointment and the holding company's potential listing, the people said.

"The family wants a fair solution. It is comfortable with either a listing or a buyback by Tata Sons," one person said. The SP Group remains "equidistant" from the two sides and does not wish to become involved in their differences, the person added.

A proposal for Tata Sons to buy back shares worth Rs 25,000 crore was raised at the company's September board meeting. Tata Trusts Chairman Noel Tata, who is married to Aloo Mistry, sister of SP Group chairman Shapoor Mistry, put forward the proposal, according to the people cited. Under the proposal, SP Group would sell about 2-3% of Tata Sons' equity. At a 3% stake sale, the proposed consideration would imply a valuation of roughly ₹8.3 lakh crore for the holding company, and the group expects the proceeds to be paid over 18 months. Both a buyback and a listing would require agreement on terms and the necessary corporate and regulatory approvals.

Tata Sons' Scale in Company Records

Tata Sons is the principal investment holding company and promoter of the Tata Group, according to company records on akta.pro. The same records list N. Chandrasekaran as chairman of Tata Sons and Noel N Tata as chairman of Tata Trusts. The Tata Group manages a $180 billion conglomerate following the death of Ratan Tata in October 2024, the records show.

Earlier Moves in the Tata Sons Standoff

On October 20, 2026, The Times of India reported that Shapoorji Pallonji Group was seeking a Rs 25,000 crore share buyback at Tata Sons to monetise its stake, with proceeds ring-fenced for debt repayment. On the same date, Reuters reported that Tata Sons chair N. Chandrasekaran is locked in a power struggle with Noel Tata, who chairs the majority-owned Tata Trusts, over whether the company should list its shares. On October 22, 2026, Bloomberg reported that Tata Sons and Tata Trusts are consulting insurance companies about coverage for potential claims from a corporate power struggle over the $185 billion Indian conglomerate.

Repayment Schedule and Refinancing

SP Group completed a Rs 21,500-crore refinancing exercise in July and subsequently repaid about Rs 3,500 crore to bondholders after a majority of existing lenders agreed to extend fresh financing. There are no repayment deadlines in October or November, one of the people said.