Zee Entertainment Announces Merger With Sony India
Mumbai: A merger deal was signed between Zee Entertainment and Sony Pictures Networks India Private Limited, according to a regulatory filing by the media company to the stock exchanges on Wednesday, September 22.
The board of directors of Zee Entertainment unanimously approved the merger between Sony Pictures Networks India and Zee Entertainment Enterprises Limited (ZEEL) at a board meeting held on Wednesday.
The merged entity will continue to have Punit Goenka as the Managing Director (MD) and CEO. According to the promoters, Sony India will have the right to appoint the majority of directors to the merged firm.
Zee Entertainment will have a holding of 47.07 per cent, while Sony India will have a majority stake of 52.93 per cent in the merged company, the statement said.
“ZEEL continues to chart a strong growth trajectory and the Board firmly believes that this merger will further benefit ZEEL. The value of the merged entity and the immense synergies drawn between both the conglomerates will not only boost business growth but will also enable shareholders to benefit from its future successes,” Zee Entertainment Chairman, R Gopalan was quoted as saying by NDTV.
“As per legal and regulatory guidelines, at the required stage, the proposal will be presented to the esteemed shareholders of ZEEL for their approval,” the chairman added.