Kolkata: The Reserve Bank of India has rejected the proposed demerger of Religare Enterprises and its subsidiary Religare Finvest into two independent listed entities, even as stock exchanges have given their no-objection to the plan.The Burman family-backed Religare said it would engage further with the regulator to provide additional clarifications on the matter.“The company has received a letter dated August 6, 2026, from the RBI, conveying that the application has been examined and that the request has not been acceded to,” it said in a stock exchange notice on Friday.Also Read: Burman-backed Religare Enterprises announces demerger to unlock shareholder valueUnder the proposed scheme of arrangement, Religare Enterprises Ltd (REL) wanted to retain its stake in Care Health Insurance Ltd, which would continue as an insurance-focused entity. It had proposed transferring its financial services business, comprising lending, broking, investment and ancillary and support services, to Religare Finvest Ltd (RFL) on a going-concern basis.“REL and RFL shall engage with the regulator and provide further clarifications, as may be required in this regard,” the company said in the regulatory filing.It was the first major restructuring announced by the company since the Burmans took over REL in February 2025 following a prolonged open offer and corporate battle.Also Read: SEBI disposes of case against Religare Enterprises, Saluja, other personsIncidentally, the Securities and Exchange Board of India (SEBI) has closed proceedings against REL, its former executive chairperson Rashmi Saluja and five directors over their alleged failure to cooperate with the Burman Group’s open offer for REL.