Tejas Networks, Tata Investment Corp Shares Surge Up to 7% Ahead of Tata Sons Board Meeting

Tata Sons to Present Business Plans for Key Subsidiaries Amid Concerns Over Losses and Governance

Shares of Tejas Networks and Tata Investment Corporation Ltd rose up to 7% on May 26 ahead of the meeting of the board of Tata Sons. The meeting, which is expected to take place today, will see Chairman N Chandrasekaran and other company leaders present business plans for five companies, including Air India, Tata Digital, EV infrastructure company Agratas, Tejas Networks, and others.

At 10:55 am on May 26, Tejas Networks were trading 4.6% higher at Rs 495.7 apiece after rising 7% intraday, while those of Tata Investment Corporation Ltd were trading 3% higher. Individual companies, especially those currently loss-making, are likely to make a presentation on the state of their business and the way ahead.

Tejas Networks posted a consolidated net loss of Rs 211.34 crore in the March quarter of the financial year 2025-26. The company had reported a net loss of Rs 71.80 crore in the same period of the previous fiscal year. Revenue from operations fell 82.55% to Rs 332.69 crore in the quarter under review, compared to Rs 1,906.94 crore in the year-ago period.

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Earnings before interest, taxes, depreciation, and amortisation (EBITDA) loss stood at Rs 118 crore in Q4FY26, down 197.26% from Rs 122 crore a year ago. The EBITDA margin was at -35.53% vs 6.37% in the year-ago period. Chandrasekaran and Tata Trusts chairman Noel Tata, who is a nominee director on the Tata Sons board, are understood to have met over the weekend to discuss the same matter on the performance of the companies.

The presentation is being viewed as an important exercise aimed at addressing concerns raised within sections of the Trusts leadership and bringing greater clarity to the group's strategic direction amid rising investments and governance sensitivities. Sources told Moneycontrol that the revised business strategy presentation is expected to address concerns relating to return ratios, monetisation timelines, investment discipline, and the balance between legacy cash-generating businesses and emerging growth ventures.

Chandrasekaran's tenure as Tata Sons chairman runs till February 2027, making long-term leadership continuity and strategic direction increasingly important within the wider Trusts ecosystem. In FY25, Tata group's unlisted businesses posted a loss of Rs 10,905 crore, which is likely to go up to Rs 29,000 crore, according to reports. Tata Sons listing is also likely to be discussed, reported CNBC-TV18.

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