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RBI approves Burmans’ open offer to acquire 26% stake in Religare

The central bank has “advised” Religare to submit names of the proposed directors, along with the board resolution, after ensuring that they are “fit and proper”

Express News Service

NEW DELHI: The Reserve Bank on Tuesday approved the open offer of Burman family, the promoters of FMCG major Dabur, to acquire an additional 26% stake in NBFC firm Religare Enterprises Ltd (REL).

The RBI directed maintaining of the current board/management structure of REL. The central bank said it has granted its “approval for the proposed increase in shareholding of existing shareholders” -- four Burman family entities Puran Associates, VIC Enterprises, M B Finmart, and Milky Investment & Trading Company -- in Religare Enterprises Ltd (REL).

“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,” the RBI said in a letter to Chairman of Religare Enterprises, a copy which was shared to the exchanges.

“The request for change of management/appointment of four proposed directors -- Abhay Agarwal, Arjun Lamba, Ramanathan Gurumurthy, and Suresh Mahalingam does not have our approval at this stage,” it said.

The RBI has “advised” Religare to submit names of the proposed directors, along with the board resolution, after ensuring that they are “fit and proper”. The Burman family through its entities had announced a Rs 2,116-crore open offer to REL shareholders in September last year to acquire up to 26% stake in the company. However, it was contested by REL independent directors, alleging fraud and other breaches by Burman entities and approached regulators, including markets regulator Sebi, the RBI and the IRDAI.

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