New Delhi: Competition Commission of India (CCI) approved the acquisition of shareholding in Religare Enterprises Limited by Puran Associates Private Limited, M.B. Finmart Private Limited, and VIC Enterprises Private Limited, Milky Investment and Trading Company
The proposed combination envisages the acquisition of 5.27% of the total issued and outstanding equity share capital of Religare Enterprises Limited (Religare) through open market purchases, and an open offer for up to 26% of the Total Expanded Voting Share Capital of Religare under the provisions of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 by Puran Associates Private Limited, M.B. Finmart Private Limited, and VIC Enterprises Private Limited, Milky Investment and Trading Company (collectively, the Acquirers).
The Acquirers are all systematically important non-deposit accepting non-banking financial companies (NBFCs) engaged primarily in the business of making investments in capital markets and providing secured and unsecured loans.
The Acquirers are controlled by members of the Burman Family. The Burman Family has investments across various sectors such as home healthcare, restaurants, insurance, consumer goods, FMCG, etc. Religare is a public limited company listed on the BSE and the National Stock Exchange in India.
It is registered as a systematically important non-deposit accepting NBFC and as a core investment company with the Reserve Bank of India. It is engaged in the financial services business through its subsidiaries and operating entities, and specifically in the business of general insurance, provision of loans to SMEs, housing finance, and retail broking.
In a statement, spokesperson Burman Family said, “The approval from the Competition Commission of India (CCI) is a reaffirmation of our commitment to Religare Enterprises Limited (REL) and its stakeholders. It also validates our vision for REL, which is aligned with the long-term interests of all the stakeholders. We remain committed to seamlessly completing the Open Offer and directing REL towards sustained success. We look forward to the continued support from REL shareholders, and hope to complete the remaining regulatory approvals expeditiously so as to enable a smooth transition. We take this opportunity to urge the Board to act in a neutral manner and not solely at the behest of certain members of the senior management.”
