Zee shares rally on reports of revival of merger talks with Sony
New Delhi, February 20
Shares of Zee Entertainment Enterprises Ltd (ZEEL), which had been receiving a battering in an overall bull market, gained eight per cent on Tuesday following reports that its collapsed talks for a $10 billion merger with Sony Pictures Networks (India) are again being revived.
The news that Zee Entertainment Enterprises is again trying to pick up the threads of its merger talks led to an intense rally in Zee shares with the circuit breaker being applied during mid-day trading after gains breached the 15 per cent mark.
Though Zee Entertainment denied reports that the company was in talks to revive the merger with Sony.
Zee Entertainment said, “We would like to clarify that the company is not involved in any negotiations.” Sony refused to comment.
While the Sony Group has started arbitration proceedings at “The Singapore Arbitration Center (SIAC)” seeking Rs 748.5 crore as termination fee, ZEEL has filed a petition before the National Company Law Tribunal (NCLT), asking Sony Group to implement the merger scheme.
