Latest news with #Religare
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Business Standard
9 hours ago
- Business
- Business Standard
India Inc's family feuds serve as both cautionary tale and policy cue
India Inc needs a new social compact that balances family control and public interest to ensure market resilience and its own Mumbai Listen to This Article India's corporate sector has long been dominated by family-run and promoter-controlled businesses. Over the decades, these businesses have powered growth, generated employment, and built household names. Yet, beneath this success story lies an uncomfortable reality — one where family feuds, opaque decision-making, and fragile boards increasingly threaten shareholder value and corporate governance norms. Recent controversies surrounding companies like Raymond, Religare, and Hero MotoCorp only reinforce the urgent need for a new social contract governing promoter control in India Inc. The distinctive feature of Indian capitalism is its promoter-led ownership model. In nearly 70 per cent of listed Indian companies, promoters
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Business Standard
14-07-2025
- Business
- Business Standard
Religare, VIP Industries, DMart: Trading strategies for stocks in news
Technical charts show that Religare and VIP can potentially rally up to 30% from here, while DMart stock can slip another 7%. These are the key levels to watch out for on these 3 stocks. premium Rex Cano Mumbai Listen to This Article Shares of Religare Enterprises, VIP Industries and Avenue Supermarts (the company that owns and operates DMart) tumbled up to 6 per cent in intra-day trade on Monday as the stocks reacted to respective news flow. Religare Enterprises slipped nearly 4 per cent to a low of ₹260.40 on the NSE amid reports that the company secured up to ₹1,500 crore funding from a group of marquee investors, including the promoter group - Burmans. The capital will be raised via preferential allotment of warrants at ₹235 per share. That apart, InGovern Research Services has flagged concerns over
Mint
13-07-2025
- Business
- Mint
Proxy adviser seeks update on ₹480 cr ESOP clawback from Rashmi Saluja
Mumbai: Five months after Dabur India Ltd chairman Mohit Burman took control of Religare Enterprises Ltd, a proxy advisory firm has sought an update on the issue of recovering shares of a subsidiary worth ₹ 480 crore from former Religare chair Rashmi Saluja. On Sunday, InGovern Research Services issued a note asking that Religare and its subsidiary, Care Health Insurance, provide details and an update on the employee share options awarded to Saluja. The Bengaluru-based proxy advisor also asked for the recovery of fees paid by Care Health to its former independent director, Pratap Venugopal, who provided legal opinion to the insurance firm. When contacted, Religare on Sunday said, 'Irdai issued an order holding the issuance of ESOPs to Dr Saluja illegal. Care Health Insurance Limited had filed an appeal before the Securities Appellate Tribunal (SAT) under instructions from Dr Saluja, who was then the non-executive chairperson of the board. Subsequent to Dr. Saluja's removal from the board, the board of directors of the company decided to withdraw the appeal. The said appeal before the SAT now stands withdrawn. We offer no further comments as these issues are being examined internally.' Saluja received ESOP grants representing about 2.5% of Care's share capital. More than four-fifths of the insurance firm's ESOPs were allotted to her. InGovern has also raised conflict of interest concerns about Venugopal, a senior advocate, counselling Care Insurance on the ESOPs, as he was also an independent director on the company's board. Venugopal was advising and approving Care's decisions on the ESOPs, as per InGovern. As per the proxy adviser's report, the Nomination and Remuneration Committee, which approves pay and stock options, also lacked independence as Venugopal was a part of it. The dual role of Venugopal was not clearly disclosed to shareholders, InGovern said. 'Venugopal played dual roles, as an advisor and an ID (independent director), in a critical matter like the issuance of ESOPs, especially after IRDAI had disapproved the issuance of ESOPs, yet the company relied on his legal opinion to proceed with it,' said Shriram Subramanian, managing director of InGovern. Such roles create potential conflict of interest in list companies if full disclosures are not made, he said. Mint could not immediately reach Venugopal for comment. Religare owns 62.91% of Care Health, while Kedaara Capital and Union Bank of India own 15.84% and 5.28%, respectively. Public shareholders own the remaining 16%. The issue raised by InGovern is about the grant of 22.7 million ESOPs by Care Health to Saluja, a non-executive director at the time, even after the Insurance Regulator and Development Authority of India rejected the proposal. Saluja had exercised 7.57 million of those options. In July 2024, IRDAI took action and imposed a ₹ 1 crore penalty on Care Health and ordered the company to buy back the 7.57 million exercised shares at ₹ 45.32 each within 30 days and cancel all unvested ESOPs within 15 days. IRDAI had found the grants in violation of Section 34A of the Insurance Act. Section 34A of the Indian Insurance Act, 1938 gives IRDAI the authority to approve the appointment, reappointment, termination, and remuneration of key managerial personnel in insurance companies. InGovern has now demanded a public disclosure of the minutes of the board and Nomination and Remuneration Committee meetings, legal opinions on ESOPs, full IRDAI correspondence, and conflict of interest declarations. At the regulatory level, the proxy adviser has called for a probe by the Securities and Exchange Board of India into disclosure lapses and a review by the ministry of corporate affairs into director roles and responsibilities.
Mint
13-07-2025
- Business
- Mint
Proxy adviser seeks update on ₹480 cr ESOP clawback from Rashmi Saluja
Mumbai: Five months after Dabur India Ltd chairman Mohit Burman took control of Religare Enterprises Ltd, a proxy advisory firm has sought an update on the issue of recovering shares of a subsidiary worth ₹ 480 crore from former Religare chair Rashmi Saluja. On Sunday, InGovern Research Services issued a note asking that Religare and its subsidiary, Care Health Insurance, provide details and an update on the employee share options awarded to Saluja. The Bengaluru-based proxy advisor also asked for the recovery of fees paid by Care Health to its former independent director, Pratap Venugopal, who provided legal opinion to the insurance firm. When contacted, Religare on Sunday said, 'Irdai issued an order holding the issuance of ESOPs to Dr Saluja illegal. Care Health Insurance Limited had filed an appeal before the Securities Appellate Tribunal (SAT) under instructions from Dr Saluja, who was then the non-executive chairperson of the board. Subsequent to Dr. Saluja's removal from the board, the board of directors of the company decided to withdraw the appeal. The said appeal before the SAT now stands withdrawn. We offer no further comments as these issues are being examined internally.' Saluja received ESOP grants representing about 2.5% of Care's share capital. More than four-fifths of the insurance firm's ESOPs were allotted to her. InGovern has also raised conflict of interest concerns about Venugopal, a senior advocate, counselling Care Insurance on the ESOPs, as he was also an independent director on the company's board. Venugopal was advising and approving Care's decisions on the ESOPs, as per InGovern. As per the proxy adviser's report, the Nomination and Remuneration Committee, which approves pay and stock options, also lacked independence as Venugopal was a part of it. The dual role of Venugopal was not clearly disclosed to shareholders, InGovern said. 'Venugopal played dual roles, as an advisor and an ID (independent director), in a critical matter like the issuance of ESOPs, especially after IRDAI had disapproved the issuance of ESOPs, yet the company relied on his legal opinion to proceed with it,' said Shriram Subramanian, managing director of InGovern. Such roles create potential conflict of interest in list companies if full disclosures are not made, he said. Mint could not immediately reach Venugopal for comment. Religare owns 62.91% of Care Health, while Kedaara Capital and Union Bank of India own 15.84% and 5.28%, respectively. Public shareholders own the remaining 16%. The issue raised by InGovern is about the grant of 22.7 million ESOPs by Care Health to Saluja, a non-executive director at the time, even after the Insurance Regulator and Development Authority of India rejected the proposal. Saluja had exercised 7.57 million of those options. In July 2024, IRDAI took action and imposed a ₹ 1 crore penalty on Care Health and ordered the company to buy back the 7.57 million exercised shares at ₹ 45.32 each within 30 days and cancel all unvested ESOPs within 15 days. IRDAI had found the grants in violation of Section 34A of the Insurance Act. Section 34A of the Indian Insurance Act, 1938 gives IRDAI the authority to approve the appointment, reappointment, termination, and remuneration of key managerial personnel in insurance companies. InGovern has now demanded a public disclosure of the minutes of the board and Nomination and Remuneration Committee meetings, legal opinions on ESOPs, full IRDAI correspondence, and conflict of interest declarations.
Time of India
12-07-2025
- Business
- Time of India
Religare to raise Rs 1,500 crore from Burman Family and select investors
New Delhi: Religare Enterprises has announced a ₹1,500-crore fundraise through preferential allotment of warrants to its promoter, the Burman family of Dabur , and a select group of investors including Ashish Kacholia, Hindustan Times group, Ashish Dhawan and JM Financial . The Burman family through various investment vehicles will subscribe to ₹750 crore worth (50%) of warrants, the company said in a stock exchange disclosure. The funds will be used to support business growth across verticals, drive strategic initiatives and explore new opportunities. Religare is in the business of loans, affordable housing finance , health insurance and retail broking. The Burmans took controlling stake in Religare in February this year after their open offer to minority shareholders was successfully executed. They were locked in a hard-fought battle with the company's previous management led by Rashmi Saluja who was resisting the open offer. Live Events The latest capital raise will be executed through issuance of 63,829,782 warrants, each convertible into one fully paid-up equity share of the company of face value of ₹10, as per details provided in the stock exchange disclosure. As a group, Religare caters to diverse segments of the market from mass retail to affluent, SMEs to mid-size corporates. Subsidiaries service over 1.1 million clients from over 1,275 locations across more than 400 cities.
