Tata removes chairman Cyrus Mistry in leadership surprise

Tata Sons, the Indian parent company of Jaguar Land Rover and Tata Steel (BSE: TATASTEEL.BO - news) , has removed its chairman in a surprise shake-up at the top of the sprawling business.

It was announced in a brief statement that Cyrus Mistry had been "replaced", on a temporary basis, by Ratan Tata - the 78-year old industrialist who had stepped aside for Mistry to take the role in 2012.

The company did not give any reasons for the decision, adding that a panel had been set up to choose a new chairman over the course of the next four months.

Tata Sons, which is India's largest business and also counts Tetley Tea among its dozens of brands, has endured a slowdown in growth in recent years.

Turnover fell to $103bn (£84bn) in its last financial year from $108bn over the previous 12 months.

Tata Steel's problems in the UK have been well-documented.

It announced in July that the threatened sale of its biggest assets in the UK, which include the Port Talbot works , had been placed on hold while it examined a possible partnership.

Jaguar Land Rover, which has proved to be a big success story for Tata, reported in August a 37% decline in its first quarter pre-tax profits as the collapse in the value of the pound hits its bottom line and sales slow in China.