New Delhi: A dispute over the division of family assets has reportedly emerged involving TVS Motor chairman emeritus Venu Srinivasan and industrialist Mallika Srinivasan. The disagreement centres on how the family's wealth should be distributed between their children, Lakshmi Venu and Sudarshan Venu, with the two sides differing over whether a formal settlement has been reached.
The dispute has persisted for nearly 18 months, with mediation attempts having failed and preparations currently under way for a potential legal battle. Venu and Sudarshan are aligned on one side of the issue, while Mallika and Lakshmi are seeking alterations to the asset division.
The core point of contention is whether assigning specific businesses to the next generation also finalises the ownership of broader family wealth. Lakshmi manages Sundaram Clayton, which operates in the components and die-casting sector, while Sudarshan heads TVS Motor Company and TVS Holdings.
This disagreement has drawn attention to a memorandum of understanding signed by the four family members on March 21, 2024. Sources close to Venu and Sudarshan state that the document formalised the division of family assets, designating Sundaram Clayton for Lakshmi and TVS Motor for Sudarshan.
Conversely, individuals close to Mallika and Lakshmi maintain that the agreement was strictly limited to establishing parameters for family brand usage and non-compete clauses, rather than settling the underlying ownership of the assets.
Tensions have further escalated as the market valuations of the two respective businesses have diverged significantly over recent years. TVS Motor recorded a substantially higher market capitalisation at a recent market close compared to Sundaram Clayton, with TVS Motor's valuation having grown considerably over a three-year period.
Regulatory filings from April 2025 indicated that Sudarshan had become a beneficial owner in TVS Holdings, which holds a controlling stake in TVS Motor. Representatives for Lakshmi contend that she sought clarification regarding the transfers without receiving a response, arguing that operational management of an enterprise does not equate to outright ownership.
Meanwhile, those backing Venu and Sudarshan assert that the arrangement built upon a previous 2020 settlement among four branches of the TVS family that separated their holding structures. They maintain that the subsequent understanding relied on fair valuations and has already been executed.
Mallika's faction disputes that any comprehensive economic settlement concerning the siblings' assets was ever finalized, arguing instead that both children retain equal rights to Venu's family wealth. This internal rift follows earlier governance tensions at Sundaram Clayton when Venu assumed the chairmanship while Lakshmi continued her operational focus.