Who gets what? Here are all the details

Ratan Tata, former chairman of the Tata Group, died on October 9, 2024 at the age of 86, leaving behind a legacy of philanthropy and significant contributions to India’s business landscape. After his death, there were concerns about his estate, estimated to be around Rs 10,000 crore.

In his will, Ratan Tata distributed his fortune among various beneficiaries, including his half-sisters Shireen and Dianna Jejibhoi, his brother Jimmy Tata, his loyal butler Subbiya and his assistant Shantana Naidu. It is noteworthy that he also took care of the care of his beloved dog Tito.

The will details the distribution of Ratan Tata’s assets, which include a beach bungalow in Alibaug, a two-storey residence on Mumbai’s Juhu Tara Road and over Rs 350 crore in fixed deposits. Apart from family members and staff, Tito and the household staff are among those who will benefit from this distribution. Tata’s collection of luxury cars and various awards will either be given to the Tata Group for its museum or auctioned, with the awards to be donated to the Tata Central Archives to preserve his legacy.

Overview of Ratan Tata’s Will Distribution and Basic Provisions

Ratan Tata’s death has drawn attention to the unique provisions of his will for the administration of his estate.

Key provisions:

Care for Tito: Ratan Tata has arranged for the lifelong care of his German Shepherd, Tito, who will be cared for by his longtime chef, Rajan Shaw. This reflects Dad’s well-known love of animals.

Beneficiaries:

Family members: His brother Jimmy Tata and half-sisters Shireen and Dianna Jejibhoy are included in the will.
Long-term staff: Provision has been made for Subbi, his butler of more than three decades.
Executive Assistant: Shantanu Naidu is also a beneficiary; Tata waived any education loans that Naidu had taken and gave up his stake in Naidu’s partnership venture, Goodfellows.

Asset allocation:

Real Estate: The estate includes properties such as a beach bungalow and a house in Mumbai.
Financial assets: In addition to fixed deposits of over Rs 350 crore, Tata’s 0.83% stake in Tata Sons will be given to the Ratan Tata Endowment Foundation (RTEF) to support philanthropic initiatives.
Preserving the legacy: Awards received by Tata will be passed on to remember his contribution.

The context of succession planning

Ratan Tata did not appoint a successor before his death, leading to questions about future leadership at the Tata Group. Now the board of trustees has to choose a new head of Tata Trust. N. Chandrasekaran is currently serving as the Chairman of Tata Sons since 2017.

The use of trusts was a fundamental aspect of the Tata family’s succession strategy to ensure stability in their vast business empire. This approach allows for more controlled asset management compared to traditional wills.

Although the specific percentages for the distribution of the shares among the beneficiaries have not been disclosed publicly, it is known that a large part of Ratan Tata’s estate will go to charitable purposes through the RTEF. Other beneficiaries include family members and staff who will receive benefits from his estate.

As Ratan Tata’s legacy continues to inspire many, it reflects the commitment to ethical business practices and philanthropy that have shaped India’s corporate landscape.