Ashish Dhawan Invests ₹760 Cr in RBI-Challenged IIFL, Religare

Ashish Dhawan, a prominent investor, has allocated Rs 760 crore across two lending firms, IIFL Finance and Religare Enterprises. Both companies have recently faced significant regulatory scrutiny from the Reserve Bank of India (RBI).

Dhawan’s investment approach stands out as he targets companies navigating regulatory hurdles. This contrarian strategy differentiates his moves from typical retail investor behavior.

IIFL Finance Navigates Regulatory Lapses

IIFL Finance faced a gold loan ban in March 2024 due to identified regulatory lapses. Despite this setback, the company has demonstrated a notable financial recovery.

• Gold loan book grew by 114% to Rs 58,406 crore.
• Net profit reached Rs 713 crore in June 2026, a 160% increase year-on-year.
• Stock trades at a PE of 13x, below the industry median of 20x.

Challenges persist for IIFL Finance, including a slight increase in bad loans and a 35% rise in borrowings. The company also shows a concentration risk in its gold loan product segment.

Religare Enterprises’ Demerger Blocked

Religare Enterprises, a holding company with stakes in Care Health Insurance, encountered its own RBI challenge. The central bank blocked its proposed demerger scheme on August 6, 2026.

• Consolidated net loss of Rs 47 crore in the June quarter.
• Stock trades at a high PE of 161x.

This RBI decision has stalled a crucial catalyst intended to allow direct market pricing of its insurance franchise. The high valuation suggests market anticipation of its individual businesses if separated.

Dhawan’s holdings reflect a nuanced risk perspective, with his IIFL Finance position being newer and smaller. Conversely, Religare represents an older, more substantial holding within his portfolio.

The article advises investors to closely monitor the regulator’s actions rather than solely focusing on the companies themselves. Regulatory decisions will ultimately determine the investment outcomes for these firms.