Religare files Draft Red Herring Prospectus with SEBI

New Delhi, 02 July, 2007: Religare Enterprises Limited ("Company"), a Ranbaxy promoter group company and a financial services company offering a wide range of financial products and services targeted at retail investors, high net worth individuals, corporate and institutional clients, has filed its Draft Red Herring Prospectus ("DRHP") with the Securities & Exchange Board of India ("SEBI") to enter the capital market with its initial public offering ("IPO") of equity shares.

The Company proposes to issue 11,364,152 equity shares of Rs. 10 each ("Equity Shares") for cash, at a price to be decided through a 100% book building process ("Issue"). The Equity Shares of the Company, offered through this IPO, are proposed to be listed on the Bombay Stock Exchange Limited ("BSE") and the National Stock Exchange of India Limited ("NSE"). The Company may issue up to 3,788,050 Equity Shares to certain investors including persons resident outside India, prior to filing of the Red Herring Prospectus with the RoC ("Pre-IPO Placement"). If the Pre-IPO Placement is completed, the number of Equity Shares issued pursuant to the Pre-IPO Placement, will be reduced from the Issue, subject to a minimum Issue size of 10% of the post-Issue share capital.

At least 60 % of the Issue will be available for allocation to Qualified Institutional Bidders ("QIBs") on a proportionate basis, of which 5 % shall be available to Mutual Funds only. Further, upto 10 % of the Issue shall be available for allocation on a proportionate basis to Non-Institutional Investors and upto 30 % of the Issue shall be available for allocation on a proportionate basis to Retail Individual Investors. The Issue will constitute15 % of the post-Issue capital of the Company. The objective of the Issue is to fuel the future growth plans of the Company.

The Book Running Lead Managers ("BRLMs") to the Issue are: Enam Financial Consultants Private Limited and Citigroup Global Markets India Private Limited.

The Company along with its various subsidiaries offers a wide range of services ranging from equities, commodities, insurance broking, to wealth advisory, portfolio management services, personal finance services, investment banking and institutional broking services. The services are broadly clubbed across three key business verticals --- "Retail Spectrum", "Wealth Spectrum" and "Institutional Spectrum". The Company and its subsidiaries operate from six regional offices and 25 sub-regional offices (including a representative office in London), have a presence in 330 cities and towns controlling 979 locations managed by it and its business associates all over India. While a majority of the Company and its subsidiary offices provide the full complement of services, it also has dedicated offices for its investment banking, institutional brokerage, portfolio management and priority client services.

The Company's principal subsidiaries include: Religare Securities Ltd., Religare Finvest Ltd., Religare Commodities Ltd. and Religare Insurance Broking Ltd. The Company and its subsidiaries has a regional management for retail branch network and a geographical distribution with deep penetration in India. It has a diversified product portfolio with distinctive expertise with focused servicing model. It has a growing client base built on a well-recognised brand. It is geared to address the competitive challenges of discount brokerage through an online investment portal - www.religareonline.com.