TATA ने बोला मिस्त्री को "टाटा"

After the separation of the Ambani brothers, the most talked about issue in the country is the ongoing dispute between Shapoorji Pallonji Group (SP Group) and Tata Group.

The controversy has grown so much that the two groups, which have been associated for almost 9 decades, are going to separate. Talking to Business Experts about this, Dhan ki Bat tried to know how the end of their relationship would affect financially especially the Tata Group and how many options it has for withdrawing shares of Tata Sons from SP Group.

Also how much SP group is going to benefit from this?

The relationship between the Mistry family and the Tata family began in 1930. It is said that JRD Tata then needed money to build a steel factory. At that time, it was Palonji Shapoorji Mistry who helped him and gave him two crores of rupees. In return JRD gave him 12.5% ​​shares of Tata Sons. The same share today stands at 18.37%. Its market value has been close to Rs 1.75 lakh crore.

The reason for    relationship deterioration
Cyrus Mistry, who took charge of the SP Group, was made the chairman of the Tata Group for 10 years in 2012, but was removed from the post in just 4 years (2016), unhappy with his working practices. .

It is also said that not only Tata companies were suffering financial losses due to the functioning of Cyrus Mistry, but the principles of Tata Group were also left behind. In view of these things, a decision was taken to remove him from the post of chairman.

Now mistry wants to end all business relationships
The differences between the two business groups have continued since Cyrus Mistry was removed as chairman in 2016. The SP Group is the largest minority stakeholder in Tata Sons with 18.37% share and a valuation of Rs 1.75 lakh crore. Due to deteriorating relationships, Cyrus Mistry has decided to sell its stake in Tata Sons and end all business relationships with the Tata group.