Tata... Cyrus

As soon as the news, of the unceremonious ouster of Cyrus Mistry, filtered in. Apologists for the group rallied on TV channels, extolling virtues of the legendary Tata (and reminding us that he can do no wrong). I has questioned the manner in which the drama was played out, almost like that of a place coup. I also questioned that lack of information offered to investors, especially for group companies in the listed space.

The sheen of Corporate Governance that the Group once enjoyed, is wearing off. The underlying message that seems o be given is, a CEO cannot survive unless he/she pays obeisance to the old guard.

There has been value destruction and clarity has still not emerged. Both sides continue to wash dirty linen in public. Brand Tata has taken a beating. The nervousness of investors apparent in the below table:

Name		24-Oct	25-Oct	26-Oct	4-Nov
Tata Metaliks		422	405.5	385.25	350
Tata Chem		577	557	549.5	508
Tata Comm		669	654	636	611
Tata Steel		426	415	398	399
Tata coffee		134	131	130	121
Tata Power		83.6	82.35	80.65	75.9
Tata Global		153.85	149.5	145	128
Tata Sponge		637	620	614	566
Titan		377	368	374	369
Tata Elxsi		1333	1311	1272	1243
Timken		600	592	588	566
TCS		2427	2398	2396	2305
Rallis		236	232	225	212
Tata Motor		559	554	529	508
Tata Motor DVR		363	360	345	327
TTML		7.5	7.76	7.61	6.67
Voltas		393	396	385	362

(4th Nov rates at 1130 hrs)