(RTTNews) - Head of the $71-billion Tata Group Ratan Tata hinted Wednesday to The Wall Street Journal that his successor could be an expatriate. His tenure expires in 2012, when he turns 75.

The Chairman said in the interview: "We are in the process of formalizing a successor to me. We have some outside consultants, and a formal search process is on. There are no constraints. The successor, I would hope, would have integrity and our value systems in the forefront and, hopefully, would carry on the path that we have tried to set for the company's growth."

Tata, 71, said he did not rule out a foreigner or an expatriate as his successor. "It would certainly be easier if that candidate were an Indian national. But now that 65% of our revenues come from overseas, it could also be an expatriate sitting in that position with justification now that we are a group that has global reach and global presence.", he added.

He has repeatedly said that he would like a younger person, ideally in his 40s, who should get at least 18 months to two years as the designated successor before taking over.

In his 18-year tenure as chairman, Ratan Tata not only gave the group a new look, but also spread its wings across and beyond the Indian shores.
The Tata Group has 98 companies with a consolidated revenue during the last fiscal of $71 billion or Rs.325,334 crore. It has 357,000 employees worldwide.

The group that was founded in 1868 in what is now Jharkhand state by Jamshedji Tata acquired two big overseas acquisitions just before the global economy meltdown. In 2007, Tata Steel purchased Anglo-Dutch steel maker Corus for $12 billion, while Tata Motors paid $2.3 billion to buy Jaguar and Land Rover from Ford Motor last year.

Some media reports said there was speculation that Noel Tata, Ratan Tata's half-brother--with Cyrus Mistry, son of construction magnate Pallonji Shapoorji Mistry--was also being considered as a possible contender. However, Ratan Tata's interview gave a new dimension to the succession scene.

Next week, Tata will be travelling to the US with Prime Minister Manmohan Singh, as a part of a business delegation.

by RTT Staff Writer

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