Home / Business and Economy / SAT Rejects Gaekwad's Religare Takeover Bid
SAT Rejects Gaekwad's Religare Takeover Bid
21 Aug
Summary
- SAT dismissed Danny Gaekwad's appeal for a Religare takeover bid.
- Gaekwad missed the 15-day deadline under Sebi's takeover regulations.
- The tribunal cited discrimination against the initial offeror.
The Securities Appellate Tribunal (SAT) has rejected businessman Danny Gaekwad's attempt to make a competing open offer for Religare Enterprises. The tribunal ruled that Gaekwad missed the mandatory 15-working-day deadline stipulated by Sebi's takeover regulations for making such a bid.
Gaekwad had sought to make an offer at ₹275 per share, significantly higher than the Burman Group's offer of ₹235. However, SAT clarified that the timeline is strictly linked to the detailed public statement, not subsequent communications. The tribunal highlighted that accepting Gaekwad's late proposal would constitute unfair discrimination against the Burman Group, which had already met financial and regulatory obligations.
Furthermore, the tribunal noted Gaekwad's failure to deposit the required ₹600 crore, even after an extended deadline from the Supreme Court. SAT concluded that the exemption provisions do not permit extending timelines for ongoing offers, and with the Burman Group's offer having concluded, further proceedings are now moot. Gaekwad can, however, initiate a fresh open offer by strictly adhering to all SAST Regulations.
