RBI rejects Religare's proposal for demerger
New Delhi: Religare Enterprises on Friday said the Reserve Bank has rejected its demerger proposal even as it received a nod from the exchanges.The company
New Delhi: Religare Enterprises on Friday said the Reserve Bank has rejected its demerger proposal even as it received a nod from the exchanges.The company has received a letter dated August 6, 2026, from the RBI, conveying that the application has been examined and that the request has not been acceded to, Religare Enterprises said in a regulatory filing."A similar communication dated August 7, 2026, has been received by Religare Finvest Ltd (RFL) as well in this regard. REL and RFL shall engage with the Regulator and provide further clarifications, as may be required in this regard," it said.Also read: UPI to remain free for consumers, says Payments Council of IndiaHowever, it said, the company got 'no objection' from Stock Exchange of India Ltd and the observation letter with 'no adverse observations' from BSE Limited, in relation to the scheme.Burman family-backed Religare Enterprises had in February approved a plan to demerge its financial services and insurance businesses into two separately listed entities, a move aimed at unlocking shareholder value and sharpening strategic focus.Under the proposed scheme of arrangement, REL will retain its stake in Care Health Insurance Ltd, which will continue as an insurance-focused entity.As per the scheme, the financial services business -- comprising lending, broking, investment activities and related support services -- will be transferred on a going-concern basis to its subsidiary Religare Finvest Ltd (RFL).The company had said the restructuring is aimed at streamlining operations by creating two independent entities, allowing each business to pursue sector-specific growth strategies and opportunities.
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