Tata Group sets sights on five growth engines

MUMBAI: Tata Sons chairman N Chandrasekaran said the holding company of the $110-billion group has resolved the high leverage at its flagship operating companies and is turning the focus toward funding growth across businesses. It has set an ambitious target of making at least five of the group’s 10 verticals contribute 10-15% each to the Tata Group’s profits in contrast to the current situation when TCS contributes the bulk of the profits.

“At Tata Sons level, if you really look at all known direct exposures, we are sorted,” Chandrasekaran said in an interview to ET.

Many operating companies had carried huge debt, telecom in particular. Many leading Indian conglomerates are currently slashing debt, enlisting strategic partners or selling assets. Tata Sons under Chandrasekaran has also undergone a deleveraging exercise, exiting the retail telecom business and repaying lenders.