Punit Goenka to remain MD & CEO of Zee Entertainment Ltd as Sony Pictures India comes to the rescue. The top executive who faced headwinds from Zee Ltd's biggest shareholder Invesco will remain in the position as Sony acquires a majority stake in the domestic entertainment giant.
The Board of Directors of Zee Entertainment Enterprises Ltd in its board meeting held on September 21, 2021, unanimously provided in-principle approval for the merger between Sony Pictures Networks India & Zee.
As per the deal, Sony Entertainment will infuse over Rs 11,000 crore in the merged entity; 47.07% of which will be held by Zee shareholders and the balance 52.93% of the merged entity to be held by Sony shareholders.
The combined entity will own 75 TV channels and more, making it the largest entertainment network in India, bigger than Star & Disney India. Meanwhile, the promoters of the two companies will also sign certain non-compete arrangements as part of the transaction.
It is noteworthy that Sony was shortlisted to acquire a stake in Zee in 2019 as well when Subhash Chandra was looking for a buyer.
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