Who is Danny Gaekwad—the US tycoon taking on the Burmans’ open offer for Religare?

Religare’s current chair Rashmi Saluja and the company’s largest shareholders, the Dabur group’s Burman family, have been fighting tooth and nail to gain control of the financial services firm for over a year now.

Now, Gaekwad has thrown his hat in the ring, offering to make an open offer at ₹275 per share—a 17% premium to the open offer made by the Burmans—for acquiring a 26% stake in Religare Enterprises.

Religare's shares ended Friday's trading on BSE at ₹247.20 apiece, down 1.14%.

Also read | Burmans are closer to Religare with Irdai no-objection, but there's more to go 

Who is Danny Gaekwad?

Gaekwad, 60, is a wealthy first-generation immigrant to the US who has set up several successful real estate and hospitality businesses. Much of what Mint has gathered about him is through his personal website, a link of which he shared with the Securities and Exchange Board of India to prove his track record as an investor.

Born to a judge in Baroda, Gaekwad and his wife Manisha moved to the US in 1987, as per his profile on the website of the University of Central Florida, where he is on the board of trustees. He studied political science at the Maharaja Sayajirao University of Baroda, Vadodara.

Soon after moving to the US, Gaekwad started a convenience store in Orlando, Florida with $5,000 borrowed from friends, as per information on his personal website. Eight years later when he sold the business, the business had grown into a chain of 26 stores, he says on his website.

Gaekwad’s next venture was a medical billing and transcription company called NDS USA, which Gaekwad says became the largest medical billing and transcription business in the world.

While NDS was growing, Gaekwad entered the hospitality and real estate development industries in 1997. Today, he owns over a dozen properties within the hospitality sector, including brands like Intercontinental Hotel Group, Carlson Hotel Group, and Hilton Hotel Worldwide.

Gaekwad also owns a mansion on a 500-acre property in Florida. He has two sons, Kunal and Karan. 

Danny Gaekwad Developing and Investments is his flagship company that houses his real estate investments and other subsidiaries. It is through this company that Gaekwad has offered to acquire a stake in Religare.

However, the website has no mention of any Gaekwad owning any businesses outside of the US. He also has no publicly known experience of running a financial services firm.

Earlier, the board of Religare Enterprises had rejected the open offer from the Burman family partly due to the buyers not meeting the ‘fit and proper’ criteria that apply to licence holders in sectors such as financial services and insurance.

In India, Gaekwad is a director of Little Flower Educational Institution, which runs the Little Flower School in Vadodara, as per public records maintained by the ministry of corporate affairs.

Danny Gaekwad did not immediately reply to an email seeking comment.

Also read | What is driving the Burmans’ quest for Religare?

Danny Gaekwad’s political connections

Gaekwad has substantial political connections in the US. A Republican, Gaekwad is a leader of the Indian-Amercian community in Florida and has supported the party at least since the time of former US President George W. Bush. He has also endorsed current Donald Trump in his recent American president campaign.

“He makes sure we have good government. Danny wants everyone to have a chance to live the American Dream in this country," Rick Scott, US senator from Florida, said in a video byte published on Gaekwad’s website.

“In Florida, no one seriously pursues running for public office without coming to see Danny Gaekwad," former Florida state senator Dennis Baxley said in the same video.

Gaekwad’s appointment to the board of trustees of the University of Central Florida was through the nomination of Florida State governor Ron DeSantis.

Gaekwad had told his friends at Baroda University that he would someday take a picture with an Amercian president, as per an anecdote shared on his website. Now, he has met and been photographed with three American presidents—Bill Clinton, George W. Bush, and Donald Trump, as per the website.

Also read | ‘Religare independent directors in favour of Burmans’ open offer’