Sebi Orders Religare to Seek Approvals for Burman Group's Open Offer

Sebi has ordered Religare Enterprises to secure statutory approvals for an open offer by Dabur India’s Burman family before July 12. The Burman group accused Religare's board of obstruction, while Religare argued the family wasn't 'fit and proper' for acquisition. Sebi found no evidence supporting Religare's claim.

In a significant development, the Securities and Exchange Board of India (Sebi) has mandated Religare Enterprises (REL) to obtain statutory approvals for an open offer by the Burman family, promoters of Dabur India, by July 12.

The Burman group accused Religare’s board and its Chairperson, Rashmi Saluja, of hindering the open offer process. In defense, Religare claimed that the Burman family was not 'fit and proper' to conduct the acquisition, an assertion Sebi found unsubstantiated.

Sebi’s interim order, expressing disapproval of the board's obstructive actions, directs Religare to apply for necessary approvals from regulators, including the Reserve Bank of India (RBI) and the Insurance Regulatory and Development Authority of India (IRDAI). Religare must comply or risk prejudicing shareholders' rights.