Religare Enterprises shares plunge 7% after Dabur India's open offer announcement

New Delhi: Shares of Religare Enterprises Ltd on Monday tanked 7 per cent as entities belonging to the Burman family, the promoter of Dabur India, announced Rs 2,116 crore open offer to the shareholders of REL to acquire up to an additional 26 per cent stake in the company.

The stock plunged 7.08 per cent to settle at Rs 253.15 on the BSE. During the day, it cracked 7.83 per cent to Rs 251.10.

At the NSE, it fell 6.79 per cent to end at Rs 253.10.

In traded volume terms, 2.75 lakh shares of the company were traded at the BSE and over 43.79 lakh shares at the NSE during the day.

The open offer is made with the intention to increase the family's stake and take control of REL.

MB Finmart Private Ltd (Acquirer 1), Puran Associates Private Ltd (Acquirer 2), VIC Enterprises Private Ltd (Acquirer 3), and Milky Investment & Trading Company (Acquirer 4) have announced an open offer for the acquisition of up to 90,042,541 fully paid-up equity shares of face value of Rs 10 each from the public shareholders of the company, REL said in a regulatory filing on Monday.

This represents 26 per cent of the expanded voting share capital of the firm, at a price of Rs 235 per unit, REL said.

The total consideration for the open offer is Rs 21,159,997,135 payable in cash, it added.