Religare Enterprises inducts three new board members

New Delhi: Diversified financial services firm Religare Enterprises said it has inducted three new board members and plans to raise Rs 1,200 crore through a mix of equity and debt.

The announcement comes close on the heels of the resignation of promoters Malvinder Mohan Singh and Shivinder Mohan Singh from the board earlier this week. Malvinder Mohan Singh had stepped down as CEO of the firm in November.

The three new members are Vikram Talwar, an experienced banker and entrepreneur; P Vijaya Bhaskar, retired Executive Director of the Reserve Bank of India; and Siddharth Mehta, the founder of Bay Capital Partners, Religare said in a statement.

Mehta has been appointed as interim CEO, while Vijaya Bhaskar will chair the Audit Committee, it said, adding the search for a full-time CEO and other senior management is being started on an immediate basis.

The company also announced plans to raise additional funds of up to Rs 1,200 crore for investments to bolster its capital and to make investments in subsidiaries as required. A special sub-committee of the board comprising the three new board members has been appointed to review the entire business of the company and any specific governance issues. Sub-committees of the board for audit, risk, corporate governance and compensation have also been reconstituted, it said.

The statement said the board intends to establish a clear long-term strategy for the company with the objectives of ensuring financial stability, prudent growth and strong profitability.