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No formal proposal from Shapoorji Pallonji Group on exit: Tata Sons

"Tata Group states that they have to date not received any formal request or proposal from the SP group on this matter," Tata Sons said in a press release

No formal proposal from Shapoorji Pallonji Group on exit: Tata Sons

The SP Group, owned by the billionaire Mistry family, had expressed desire to separate from Tata Group

Tata Sons on Thursday said it did not receive any formal request or proposal from the Shapoorji Pallonji (SP) Group regarding separating from the Tata Group. The comment came in after the SP Group, owned by the billionaire Mistry family, had on September 22 said that it was set to part ways with the Tata Group.   

"Tata Group states that they have to date not received any formal request or proposal from the SP Group on this matter," the company said in a press release.

The company further stated that it will wait for the court proceedings to resume, which is scheduled for October 28.

On September 22, the SP Group had expressed its desire to separate from the Tata Group after the Supreme Court restrained the group and Cyrus Mistry from pledging or transferring their shares in Tata Sons. The SP Group holds 18.37 per cent stake in Tata Sons through its two investment firms. The stake is estimated to be valued at Rs 1.3 lakh crore.

Also Read: Buy us out for Rs 1.75 lakh crore: Mistrys to Tata Group

The SP Group had said in a 'departing note' that the relationship spanning over 70 years, was forged on mutual trust, good faith, and friendship. "Today, Shapoorji Pallonji Group stated before the Supreme Court that separation from Tata Group is necessary due to potential impact this continuing litigation could have on livelihoods and the economy," the company said.

"Today, it is with a heavy heart that the Mistry family believes that a separation of interests would best serve all stakeholder groups," it added.

Also Read: Tata vs Mistry: What SP Group's exit from Tata Group means for shareholders and investors

Tata Sons said that as it did not receive any proposal on this matter, SP Group's statement has resulted in considerable confusion and speculation in the media. 

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