N Chandrasekaran told the Tata Sons board on Wednesday that he will not seek a third term as chairman, ending months of uncertainty over his future at the helm of India’s largest conglomerate. His current term runs until February 20, 2027, and he will continue in the role until then.

The decision comes six days before Tata Sons holds its annual general meeting on August 18. It also follows a six-month deadlock inside the boardroom over whether to extend his tenure by another five years.

Tata Trusts had recommended a third term for Chandrasekaran, and the Nomination and Remuneration Committee along with the full Tata Sons board backed the proposal unanimously at a meeting on September 12, 2025. But when the board met again on February 24, 2026, one director declined to support the extension. Chandrasekaran chose to defer the matter rather than push it through without unanimous backing.

Noel Tata, who chairs Tata Trusts and holds a board seat at Tata Sons, had raised concerns about weak financial performance and losses at some of the group’s newer businesses. Tata Trusts owns close to 66 percent of Tata Sons, giving it significant sway over who runs the company.

In his resignation letter, Chandrasekaran wrote that six months had passed since the February meeting without resolution, and that clarity on leadership is important for employees, investors, partners and other stakeholders. He asked the board to begin the succession process without delay.

Chandrasekaran became executive chairman on February 21, 2017, taking over after the board’s contentious removal of Cyrus Mistry a few months earlier. He was the first Tata Sons chairman from outside the founding family, a distinction that marked a shift toward professional management at the group. Under his watch, Tata expanded into airlines through Air India, semiconductors, electronics manufacturing and batteries, while TCS remained the group’s steadiest source of cash.

Tata Sons has not named a timeline for choosing his successor. Any decision will run through a formal process in which Tata Trusts, as majority owner, plays the central role. Noel Tata cannot take the Tata Sons chairmanship himself under rules the group adopted in 2022, since he already chairs the Trusts.