Burmans raise stake to 25% in Religare to acquire financial services firm

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Dabur India promoter Burman family’s, on Wednesday, office has increased its stake to 25.18 per cent in Religare Enterprises Ltd (REL) from 21.24 per cent by buying additional shares worth Rs 309 crore from the stock market.

As per bulk data of the stock exchanges, the promoter entities of Burman family office entities bought an additional 4 per cent from investors at Rs 234 a share.


The Burmans have made the open offer for the company to acquire an additional 26 per cent stake in the company but is awaiting the market regulator, Sebi nod for the offer.


On September 25th, last year, the Burman family had announced an open offer for REL at Rs 235 per share.

Religare share price closed  4.5 per cent up at Rs 237 a share. The Religare board however has rebelled against the Burman takeover and have complained to the Sebi. The open offer would require permission from the Reserve Bank of India and IRDAI as Religare owns a financial services firm and a health insurance venture.

The three entities — Puran Associates, Vic Enterprises and M B Finmart — of the Burman family acquired the shares of Religare Enterprises on the National Stock Exchange (NSE). Puran Associates is owned by Anand Burman and Minnie Burman, while V C Burman owns Vic Enterprises. M B Finmart is owned by Mohit Burman.


Meanwhile, Mahesh Udhav Buxani sold shares of Religare Enterprises for Rs 106 crore.


Buxani offloaded 4,519,019 shares, amounting to a 1.37 per cent stake in Religare Enterprises, as per the data on the NSE.


The shares were disposed of at an average price of Rs 234.51 apiece, taking the transaction value to Rs 105.97 crore.


The scrip of Religare Enterprises Ltd (REL) jumped 4.74 per cent to close at Rs 237.60 per share on the NSE.


On January 23, the Competition Commission of India (CCI) approved the acquisition of 31.27 per cent of additional stake in Religare Enterprises by four entities of Burman family, enabling them to become majority owners in the financial services firm.




(With inputs from PTI)

 

First Published: Jan 31 2024 | 8:27 PM IST