Burman Family's Bold Move: A 26% Stake in Religare Enterprises

The Burman family aims to acquire an additional 26% stake in Religare Enterprises through an open market offer set to begin on January 27, following regulatory approvals. However, the move faces opposition from REL independent directors, who have raised concerns of alleged fraud and approached various regulators.

The Burman family, prominent promoters of Dabur, are set to launch an open offer to acquire an additional 26% stake in Religare Enterprises starting January 27. This decision has gained approval from the Reserve Bank, marking a significant development in the Indian finance landscape.

The acquisition targets over 9 crore fully paid-up equity shares of Religare, a non-banking financial company (NBFC). This move, facilitated by entities like M.B. Finmart and Milky Investment, responds to strategic ambitions to strengthen financial holdings.

Yet, the transaction's integrity is contested by independent directors of REL, citing potential fraud. They have alerted major regulatory bodies, including SEBI and the Reserve Bank of India, raising crucial questions about corporate governance and oversight in such high-stakes dealings.

(With inputs from agencies.)