Insolvency proceedings against Zee Entertainment has been put on hold by a tribunal.
Bengaluru:
An Indian tribunal said on Friday it put on hold insolvency proceedings initiated against media company Zee Entertainment Enterprises.
Earlier today, Zee Entertainment Enterprises Ltd had told the tribunal that its merger with a local unit of Japan’s Sony will “get stuck” due to the initiation of insolvency proceedings against the company.
The comments came as Zee’s chief executive, Punit Goenka, on Thursday said in a statement that he expected a timely completion of a merger between Zee and Sony.
Yesterday, Punit Goenka had challenged the insolvency proceedings against the company initiated by a bankruptcy court over a loan default from IndusInd Bank Ltd.
The Zee network, set up in 1992, had a network share of 16.2% as of Dec. 31 2022. The deal with Sony was set to vault the companies into pole position over Disney’s Star India.
Shares of Zee Entertainment sank to a 17-month low on Thursday after it was taken in for insolvency proceedings, raising fears of possible delays on the Zee-Sony merger, aimed at creating a $10 billion media powerhouse in India.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
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