Working to finalize planned merger agreement with Sony: Zee

30 Nov 2023 , 03:26 AM

Zee Entertainment Enterprises has announced that it is attempting to finalize its planned merger agreement with Culver Max Entertainment, the Sony Group Corporation’s media division in India.

In a statement to stock exchanges, the business stated, ‘We wish to reiterate that the company is continuing to work towards a successful closure of the proposed merger as per the Composite Scheme of Arrangement approved by the Hon’ble NCLT, Mumbai Bench.’

A Bloomberg news report that implied the company’s proposed merger with the Sony Group Corporation’s India media branch might not go through was also deemed factually incorrect by ZEEL. According to Bloomberg, Sony is expected to inform Zee in writing the next week that the merger’s requirements could not be fulfilled because of the disagreement between the two businesses over the CEO post.

Sony wants Punit Goenka, who was to be the MD and CEO of the combined company, to resign until he is cleared by the Securities Exchange Board of India, which is looking into claims that he and his father, Subhash Chandra, diverted funds. This was first reported by ET.

Sony wants NP Singh, the MD and CEO of its India division, to lead the combined company as CEO.

Even though the merger agreement has all the necessary regulatory clearances, it has not yet been finalized, having been signed two years ago.

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