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MUMBAI: Venu Srinivasan has backed the idea of a public listing of Tata Sons , the first time that a Tata Trusts trustee has publicly supported such a move, saying that the step would be inevitable if the Reserve Bank of India classifies the group holding company as an upper layer non-banking finance company ( NBFC ), appearing to reflect a widening divergence of opinion at the group's top echelons.Tata Trusts vice chairman Srinivasan told ET that such a move would allow Shapoorji Pallonji (SP) Group to monetise its 18.37% stake in Tata Sons, a long-standing demand of the minority shareholder that's seeking to pay off debt."A public listing would not only unlock value for minority shareholders-including providing an exit route to the Shapoorji Pallonji Group-but also equip Tata Sons with capital to sustain its growth trajectory," Tata Trusts vice chairman Srinivasan told ET.However, this runs counter to the resolution passed by Tata Trusts less than a year back, on July 28, 2025, to retain Tata Sons as an unlisted private entity, resisting regulatory momentum toward a potential IPO. More recently, Tata Trusts, under the chairmanship of Noel Tata, had asked Tata Sons chairman N Chandrasekaran to explore all options to avoid a listing, while also initiating discussions on a potential exit for the SP Group.The Reserve Bank of India is expected to issue a revised circular on upper-layer NBFCs soon. The RBI's scale-based regulation (SBR) framework for NBFCs is under review. Officials have suggested that Tata Sons may not receive the RBI exemption it has sought from the upper-layer classification to avoid listing.Against this backdrop, Srinivasan said some trustees may not challenge any regulatory decision on the company's status, even as the unanimous September 2025 resolution to keep Tata Sons unlisted risks coming under strain.Tata Trusts has majority control of Tata Sons with a stake of about 66%. Amid mounting pressure-including a possible regulatory mandate, demands from the SP Group, and rising internal differences-the Trusts appear to be increasingly divided. One section of trustees sees a listing as inevitable and aligned with shareholder interests, while another remains opposed, favouring an unlisted structure to preserve control and legacy considerations.The SP Group has been actively pushing for the public listing of Tata Sons, calling it a "moral and social imperative" to ensure transparency and unlock value.The broader unease within the group has also surfaced in governance matters. An early move to consider a third term for Chandrasekaran, whose current tenure runs until February 2027, was deferred after objections were raised over performance of Chandrasekaran and losses at Air India and Tata Digital at a board meeting by Noel Tata on February 24, 2026, highlighting emerging differences between the Trusts and the Tata Sons board.Srinivasan's statement comes close on the heels of a controversy that blew up after a petition by trustee Mehli Mistry alleging that the TVS Group chairman and Vijay Singh weren't eligible to be trustees of the Bai Hirabai JN Tata Navsari Charitable Institution, one of the Tata Trusts, as they weren't Parsi nor were they permanent residents of Mumbai.Tata Trusts CEO Siddharth Sharma then asked them to resign, while concealing material information, Srinivasan and Singh have alleged. Srinivasan stepped down, Singh didn't. They alleged that Srinivasan's resignation was obtained by concealing facts and amounted to an act of misrepresentation.