Religare Enterprises has informed stock exchanges that its material subsidiary, Care Health Insurance Limited (CHIL), has received a penalty of ₹1.00 crore from the Insurance Regulatory and Development Authority of India (IRDAI). The penalty was imposed for violations identified during an inspection conducted by the regulatory authority.

Penalty Details and Timeline

The IRDAI issued the penalty order on December 15, 2025, which was received by Care Health Insurance Limited on the same date. The violations were discovered during an inspection carried out for the period from August 30, 2021 to September 09, 2021. The penalty was imposed after considering submissions made by CHIL regarding the observed violations.

Nature of Violations

The regulatory action encompasses multiple compliance violations across various IRDAI regulations and guidelines. The violations include breaches of:

• Protection of Policyholders Interests Regulations, 2017
• Corporate Governance Guidelines
• Third Party Administrators-Health Services Regulations, 2016
• Health Insurance Regulations, 2016
• Financial statements and solvency margin regulations

The violations resulted in different types of regulatory actions, with some attracting warnings and advisories, while others led to the monetary penalty.

Financial Impact

The penalty amount of ₹1.00 crore is payable by Care Health Insurance Limited. As CHIL is a material subsidiary of Religare Enterprises, its financials are consolidated with the parent company. This means the penalty will have a direct impact on the consolidated financial statements of Religare Enterprises.

Regulatory Compliance

Religare Enterprises has disclosed this information in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has provided detailed annexures outlining the specific nature of violations and regulatory actions taken by IRDAI.

The disclosure demonstrates the company's commitment to maintaining transparency with stakeholders regarding material developments affecting its subsidiaries. Care Health Insurance Limited, being a material subsidiary, requires such regulatory communications to be promptly disclosed to the stock exchanges.

Religare Enterprises Limited (REL) has announced a significant corporate action, strengthening its capital base through the allotment of equity shares to promoter entities. This move comes as part of the company's ongoing efforts to enhance its financial position and support future growth initiatives.

Key Highlights of the Share Allotment

• Allotment Details: REL has allotted 19,85,816 equity shares at Rs. 235 per share.
• Recipient Entities: Four promoter entities received the newly issued shares.
• Conversion Mechanism: The allotment was made following the conversion of warrants.
• Capital Raised: The company raised Rs. 46.67 crores through this allotment.

Impact on Share Capital

The share allotment has led to an increase in REL's paid-up share capital:

Financial Implications

The recent allotment of shares is expected to have a positive impact on Religare Enterprises' financial structure. The increase in shareholders' capital indicates a strengthening of the company's equity base, which could potentially improve its financial flexibility and capacity for future growth.

Conclusion

This strategic move by Religare Enterprises to convert warrants into equity shares demonstrates the promoters' confidence in the company's future prospects. The additional capital infusion is likely to support the company's growth plans and potentially enhance shareholder value in the long term. Investors and market watchers will be keen to observe how REL utilizes this capital to drive its business objectives and financial performance in the coming quarters.

As always, stakeholders are advised to conduct their own research and consult financial advisors before making investment decisions based on this corporate action.