Tata Digital Leadership: BigBasket & 1mg Founders to Step Down

Tata Digital is witnessing a significant management overhaul as the founders of two of its flagship acquisitions, BigBasket and 1mg, prepare to step back from operational roles. 

On April 3, 2026, reports confirmed that BigBasket co-founders Hari Menon and Vipul Parekh are in the final stages of a transition plan, while 1mg’s Prashant Tandon and Gaurav Agarwal are evaluating their next steps following a five-year tenure with the group.

Tata Digital Leadership Exodus: Professionalization Amid Market Pressures

The planned exits come as Tata Digital’s CEO, Sajith Sivanandan, steers the conglomerate’s “super-app” strategy toward profitability and strict financial discipline. 

BigBasket, a pioneer in the slotted grocery delivery model, has faced intense pressure to pivot toward the high-burn quick commerce sector, currently dominated by Blinkit, Swiggy Instamart, and Zepto.

While BigBasket reported a revenue of approximately ₹9,900 crore in FY25, its losses widened to ₹2,000 crore due to the aggressive expansion of its “BB Now” 10-minute delivery service. 

Industry experts suggest that Tata is now seeking a “professional CEO” with specialized expertise in rapid logistics and supply chain optimization to reclaim market share.

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The 1mg IPO Dilemma

At Tata 1mg, the situation is tied closely to liquidity and future growth capital. 

Founders Prashant Tandon and Gaurav Agarwal, who hold a combined 6% stake, are reportedly seeking clarity on a potential Initial Public Offering (IPO).

Although 1mg achieved a revenue run rate of ₹3,000 crore and turned EBITDA positive in its core operations by December 2025, the lack of a definitive timeline for a public listing has prompted the founders to consider an exit.

A “Mentoring” Transition

Hari Menon has clarified that while a leadership shuffle is underway, he and Vipul remain “in the driver’s seat” during the interim and are not currently selling their remaining stakes. 

The company expects the transition to mirror a “mentoring” model, where the founders shift into advisory roles to ensure continuity while a new executive team—which already includes several recently hired CXOs—takes over day-to-day operations.

This restructuring marks a definitive end to the “founder-led” era of these startups, signaling Tata’s intent to consolidate its digital ecosystem under a more unified, corporate governance-led framework.

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