BENGALURU/MUMBAI, Sept. 18 -- The Tata Sons board succeeded in rebelling against the majority shareholder's view on granting N Chandrasekaran a third, five-year term as chairman of the group's holding company on Thursday. But Chandrasekaran's appointment as a director won't get majority approval even if one of the two main Tata Trusts does not vote.

Tata Trusts is an umbrella entity that comprises 14 philanthropic entities, seven of which own shares in Tata Sons. Sir Dorabji Tata Trust (SDTT) and Sir Ratan Tata Trust (SRTT) are the largest shareholders, owning 27.98% and 23.56%, respectively. Cumulatively, the two principal shareholders own 51.54%.

SDTT oversees eight smaller trusts, three of which own shares in the group's holding comp...