The Reserve Bank of India has rejected Tata Sons’ application to surrender its Core Investment Company registration, leaving the holding company subject to rules that require upper-layer nonbank finance companies to list. Tata Sons was classified as an upper-layer non-banking financial company in September 2022 and had three years to go public. It sought deregistration after clearing all borrowings by March 2024, but the RBI maintained its status after citing standalone assets of approximately 2.01 trillion rupees as of March 31, 2026, about twice the 1 trillion-rupee threshold. Tata Trusts, which controls about 66% of Tata Sons, has opposed a listing, while the Shapoorji Pallonji Group, with roughly 18%, has pushed for one to improve liquidity. Tata Group Chairman N. Chandrasekaran will not seek a third term beyond February 2027, creating a leadership transition alongside a potential IPO process. Tata Sons holds major stakes in Tata Consultancy Services, Tata Steel, Tata Motors, Tata Power and other group companies, and experts cited in the report estimate an IPO process could begin within three to six months of the RBI ruling.