Religare Enterprises stock surges 8.5% after Burman family acquires controlling stake

Shares of Religare Enterprises surged 8.5 per cent on Friday, February 21, after the Burman family officially acquired control of the company, becoming its promoters. 

The development marked the conclusion of an 18-month-long takeover battle for the Delhi-based financial services firm. In a statement, the Burman family expressed gratitude to regulators, shareholders, and stakeholders for their trust and confidence in the transition.

Following the completion of the open offer, the Burman family's shareholding in Religare Enterprises Limited (REL) now stands at 8.32 crore equity shares, representing 25.16 per cent of the total paid-up capital. With this acquisition, the Burman family has been designated as the official promoters of the company.

"Our immediate priority is to instill stability, strengthen governance, and drive sustainable growth at the company. Governance, trust, and integrity will remain at the core of our vision as we steer REL towards a future defined by resilience and stakeholder value maximization," the statement quoting Burman group's spokesperson said.

Open Offer

According to a regulatory filing, the Burman family completed the open offer on February 17, 2025, under SEBI’s Substantial Acquisition of Shares and Takeovers Regulations, 2011. As part of the acquisition, they secured 231,025 equity shares, representing 0.07 per cent of Religare Enterprises' total paid-up share capital. Additionally, they had previously acquired 13,200,000 equity shares on January 31, 2024, amounting to 3.99 per cent of the paid-up capital. These shares were transferred from an escrow demat account to the Burman family's account on February 18, 2025.

The Burman family had launched an open offer to acquire up to 9 crore equity shares, representing a 26 per cent stake in Religare Enterprises, from public shareholders. The acquisition was executed through various family-owned entities, including M.B. Finmart Private Limited (MFPL), Puran Associates Private Limited (PAPL), VIC Enterprises Private Limited (VIC), and Milky Investment & Trading Company (MITC).

Stock Price Trend

The stock rose as much as 8.5 per cent to its day's high of ₹242. It is now over 24 per cent away from its peak of ₹319.90, hit in December 2024. Meanwhile, it has advanced over 20 per cent from its 52-week low of ₹201, recorded in June 2024. In the last one year, the stock has lost 5 per cent. Moreover, it has lost over a per cent in February so far after an over 13 per cent decline in January 2025.

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