Zee Entertainment denies the $10-billion merger revival talks with Sony

Zee Entertainment Enterprises has firmly denied engaging in any negotiations with Sony Group regarding their previously proposed $10-billion merger deal. This denial comes in response to recent speculation hinting at a potential revival of talks between the two media giants.

In an official exchange filing on Tuesday, February 20, Zee Entertainment stated, "We would like to clarify that the company has not been involved in any negotiations, or any other event as stated in the above-mentioned article, and we categorically confirm that the above-mentioned news item is factually incorrect."

The company further emphasized, "We wish to clarify that the company is not aware of any information that has not been announced to the exchanges which could explain the aforesaid movement in the trading, and we are not in a position to determine the material impact of the above-mentioned article on the company."

Previous reports from The Economic Times had suggested that Zee Entertainment Enterprises was attempting to resurrect the merger deal with Sony Group Corp, which was officially terminated on January 22. However, despite reported meetings between representatives of both companies in Mumbai in recent weeks, significant hurdles are said to remain unresolved.

Insiders familiar with the matter have indicated that executives from both Zee and Sony are standing firm on their respective positions, raising doubts about the potential success of revived negotiations. This uncertainty has impacted Zee Entertainment Enterprises' stock performance, which rallied over 10% on Tuesday following the speculation regarding the merger's revival, as per CNBC TV 18.

However, with Zee Entertainment's denial of any ongoing negotiations, the situation remains uncertain, leaving investors and industry watchers eager for further developments.

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