Religare Enterprises Limited (REL) achieved a milestone on Monday, with its shares surging to a 52-week high after at ₹304.60, on December 10, after receiving the Reserve Bank of India’s (RBI) approval for the Burman family’s proposed stake increase, as per an exchange filing.
Burman family’s plan to raise their stake in the company from 25 per cent to 51 per cent via an open offer.
Religare Enterprises share price was trading in the green, up 4.21 per cent, at ₹289.30, on December 10, at 1:59 pm, on BSE. The company enjoys a market capitalisation of ₹9,555.44 crore, as per BSE.
The stock of Religare Enterprises surpassed its earlier peak of ₹297, recorded on October 1, 2024. In December alone, the share price has witnessed a remarkable 25% surge.
RBI’s conditions for stake acquisition
The RBI granted permission to the Burman family entities, including Puran Associates Private Limited, VIC Enterprises Private Limited, M.B. Finmart Private Limited, and Milky Investment & Trading Company, to increase their stake in REL under the Master Direction for Core Investment Companies. This approval comes with specific conditions, including:
- Submission of a consolidation plan for the NBFCs in the Burman and Religare groups within 90 days.
- Immediate reporting of any adverse regulatory or legal actions affecting the acquirers or ultimate beneficial owners (UBOs).
- A minimum 30-day public notice before completing the stake acquisition.
“The acquirers are advised to consolidate the NBFCs in the resulting structure/group (both Burman and Religare group) at the earliest and not later than March 31 , 2026. In this regard, the acquirers are advised to submit a concrete and specific consolidation plan, with specific timelines, duly supported by Board Resolutions from each of the NBFCs within the groups, within 90 days from the date of this communication,” RBI said in a letter sent to Religare Enterprises.
The Burman family, a key promoter group of Dabur India Limited, had earlier announced its intent to increase its stake in REL. With this approval, they are poised to solidify their influence over the company. The move aligns with REL’s ongoing efforts to enhance corporate governance and strengthen its financial services portfolio.
