Religare Enterprises Withdraws NCLAT Petition Against CCI Order

New Delhi: Religare Enterprises has withdrawn its appeal at the NCLAT against a competition watchdog CCI order that allowed four Burman group entities to acquire a 5.27 per cent stake in the financial services firm.

The move comes after the Burman Family, through its investment firms, gained a controlling stake in Religare Enterprises Limited (REL) after acquiring 25.16 per cent of equity shares through an open offer. The total holding of Burman family, which also owns FMCG firm Dabur and Eveready, now exceeds 50 per cent, consolidating their position as the largest shareholders in the company. During the proceedings, the “authorised signatory for Appellant (Religare) is present and submits that he is under the authorisation to say the Appellant is not interested in pursuing the matter and intends to withdraw this appeal”, the NCLAT order said. “In view of this, the appeal stands dismissed as withdrawn. All the pending applications are also disposed of,” a two-member bench ordered last week. The four Burman family-owned entities, which were made parties before the NCLAT are - Puran Associates Private Limited (PAPL), VIC Enterprises Private Limited (VIC), MB Finmart Private Limited (MFPL) and Milky Investment & Trading Company (MITC).

In February, Religare Enterprises executive chairperson Saluja was ousted as director by the company’s shareholders, following the Burman family acquiring a controlling stake in the company. Subsequently, the board has also directed subsidiary companies to initiate the process for the removal of former executive chairperson Rashmi Saluja from their respective companies.