Archive · 2 Sep 2026
Ashish Dhawan Builds Religare Stake Amid Restructuring Uncertainty
Ashish Dhawan has been buying more shares of Religare Enterprises.
His ownership rose to 7.41% after several purchases in 2026.
Religare wants to separate some of its businesses through a demerger.
Stock exchanges raised no objections, but the Reserve Bank of India did not approve the plan.
The central bank did not publicly explain its decision in the disclosures described.
Religare owns a large stake in Care Health Insurance, which reported strong premium and profit growth.
However, Religare’s overall accounts showed low operating margins and recent quarterly losses.
Dhawan appears to believe the company’s separate parts could be worth more than the combined business.
The investment remains risky because the restructuring has no announced timeline for resolution.
Ashish Dhawan increased his Religare Enterprises stake from 4.25% in April to 7.41% by August 31, 2026.
His 2.53 crore shares were worth approximately Rs 616 crore at Monday’s closing price, with additional warrants exercisable at Rs 235.
Religare’s proposed demerger received exchange clearances but was not approved by the Reserve Bank of India in August.
Care Health Insurance reported quarterly gross written premium growth of 37% and profit before tax growth of 59%, despite a consolidated insurance-segment loss.
The investment case depends on separating Religare’s health-insurance value from weak consolidated profitability and regulatory uncertainty.
- Who
- Ashish Dhawan, Religare Enterprises, the Burman family, and the Reserve Bank of India are the principal parties mentioned.
- What
- Dhawan increased his stake in Religare Enterprises to 7.41% while the company’s proposed demerger remains unresolved.
- When
- The reported purchases occurred from April 17 through August 31, 2026; the Reserve Bank of India declined the scheme in letters dated August 6 and 7, 2026.
- Where
- The transactions were reported through Indian stock-exchange filings, including the Bombay Stock Exchange and National Stock Exchange.
- Why
- The article presents Dhawan’s purchases as a bet that Religare’s assets, particularly Care Health Insurance, could be valued more highly after restructuring.
Investment Case
Risk Case
Value of the demerger
Investment Case
Dhawan’s continued purchases suggest he may believe separating the businesses would allow Care Health Insurance and the financial-services operations to be valued more clearly.
Risk Case
The proposed restructuring remains dependent on Reserve Bank of India approval, which was declined without a publicly disclosed explanation or timeline.
Care Health Insurance
Investment Case
Care Health Insurance recorded strong premium growth, higher profit before tax, and continuing capital raises, supporting the view that it is a valuable underlying asset.
Risk Case
At the consolidated level, the insurance segment reported a pre-tax loss, and accounting under Ind AS 117 makes the group’s reported performance difficult to interpret.
Share-purchase signal
Investment Case
Dhawan’s stake rose through multiple disclosed purchases even after the regulatory setback, indicating conviction in the company’s asset value or restructuring prospects.
Risk Case
The company’s operating margin fell from 11.1% in FY21 to 1.6% in FY26, its trailing twelve-month margin was 0.7%, and its valuation and returns remain unfavorable according to the article.
- Dhawan’s stake
- 7.41% of Religare Enterprises, representing 2.53 crore shares.
- Reported holding value
- Approximately Rs 616 crore at Monday’s closing price.
- Promoter holding
- The Burman family holds 30.55% of Religare Enterprises.
- Demerger proposal
- Lending, broking, and allied operations would move to Religare Finvest, while the parent would retain its approximately 63% Care Health Insurance stake.
- Regulatory status
- The NSE issued a no-objection letter and the BSE recorded no adverse observations, but the Reserve Bank of India declined the application in August 2026.
- Care Health quarterly performance
- Gross written premium increased 37% to Rs 3,247 crore, while profit before tax rose 59% to Rs 163 crore.
- Religare quarterly result
- Consolidated income rose about 26% to Rs 2,358 crore in the June 2026 quarter, while net profit was a loss of Rs 47 crore.