The Burman family, promoters of the Dabur group is understood to have upped its stake in financial services player Religare Enterprises Limited (REL). The Burman family already owned about 14% in Religare through various entities. As per reports, it has bought an additional 7.6% stake in the diversified financial services company on Wednesday. The value of the shares , as reflected on the exchanges was Rs 533.8 crore. Approximately 24.50 million shares were purchased at a price of close to Rs 218 per share.
The shares are understood to have been purchased in block trades through Puran Associates, VIC Enterprises and MB Finmart Private Limited. The seller’s name is Investment Opportunities. These entities purchased 2.52% each in the company, data from the exchanges showed.
These three entities already held a stake in REL together with a fourth entity, namely, Milky Investment and Trading Company. Anand Burman is a director on the board of Milky Investment.
Shares of REL jumped nearly 10% to hit their 52-week high of Rs 242.55 and closed at Rs 233.35 on the Bombay Stock Exchange, up 6% over Monday’s close. The company has a full-float market capitalisation of close to Rs 7,558 crore. The stock has gained about 35% this year so far and has rallied by more than 90% from its 52-week low of Rs 125 per share.
The company’s consolidated revenue from operations in the June quarter was Rs 1,302 crore compared with Rs 1051.06 crore in the June, 2022 quarter. The total profit in Q1FY24 stood at 92.52 crore. In the corresponding quarter of 2022, the company had posted a loss of Rs 76.20 crore. The consolidated revenues of REL for the year ended March, 2023 were Rs 4863.23 crore.
Religare offers a basket of services including loans to Small and medium enterprises, insurance, retail broking and housing loans.