Religare Enterprises has announced the appointment of Abhay Kumar Agarwal, Arjun Lamba, Gurumurthy Ramanathan, and Suresh Mahalingam as additional directors. Pending approval from the RBI and shareholders of the company, they will be designated as Non-Executive and Non-Independent directors.
The Board of Directors has also approved the decision to wind down the operations of MIC Insurance Web Aggregator, a subsidiary of Religare Enterprises. This move comes as a result of the subsidiary’s sub-optimal business operations and ongoing decline in net worth.
MIC, an insurance web aggregator registered with IRDAI, became a wholly owned subsidiary of Religare Enterprises in December 2023. Previously, MIC was part of iGear Holdings, a company under The Indian Express Group.
Due to a lack of additional capital support, MIC was unable to scale up its operations and achieve the desired level of revenue and profitability. In a competitive environment with limited growth opportunities, the financial position of MIC became unsustainable, leading to the decision to suspend its operations.
In addition, the Board of REL has directed its subsidiaries to remove Dr. Rashmi Saluja and Rakesh Asthaana from their respective Board and Committees.
Furthermore, REL has decided to impair its investment in MIC in its books and write off inter-corporate loans amounting to ₹1.41 crore extended to MIC. REL will also cover all outstanding dues of MIC up to ₹35 lakh and write off the same in its accounts.
The Board of REL approved the appointment of Abhay Kumar Agarwal, Arjun Lamba, Gurumurthy Ramanathan, and Suresh Mahalingam as additional directors and the decision to wind down the operations of MIC Insurance Web Aggregator due to its sub-optimal performance. Dr. Rashmi Saluja and Rakesh Asthaana have been removed from their respective Board and Committees positions.