It was reported that Zee Entertainment Enterprises might soon finalise the binding agreement from a financial investor for a partial stake sale.
Essel Group July 31 said Invesco Oppenheimer Developing Markets Fund will buy an additional 11 percent stake in Zee Entertainment Enterprises from the company's promoters for Rs 4,224 crore.
Oppenheimer held a 7.74 percent stake in Zee Entertainment as of June 30, 2019.
"Essel Group had initiated the process of divesting its key assets, with an aim to repay all the lenders by September 2019. During this divestment process, the Group has received a positive response from multiple partners expressing interest to buy the stake in ZEEL and the other key Non Media Assets," the company said in a release to the exchange.
Currently, Essel Group owns a 35.79 percent stake in Zee Entertainment. Around 63.98 percent of Essel Group’s holding in Zee Entertainment is pledged with lenders.
The release noted that the Essel Group aims to repay lenders by September 2019, and it is confident to complete overall process of repayment within the agreed timeline.
Speaking on this development, Punit Goenka, Managing Director and CEO, ZEE Entertainment Enterprises said, “I’m extremely glad to share that the Fund as a Financial Investor has further reposed its faith in ZEEL. It also gives me immense pleasure to note their strong belief and trust in the intrinsic value of our precious asset. It is the valuable belief and support of our esteemed financial investors that enables us to consistently generate great value, year after year”.