Zee-Sony merger gets BSE, NSE nod after agreement signed last December

 

According to a statement released by Zee Entertainment on Friday, the Bombay Stock Exchange and National Stock Exchange have authorized the proposed merger of Zee Entertainment Enterprises (Zee) with Culver Max Entertainment (formerly Sony Pictures Networks India).

According to the statement, "the stock exchanges' approval signifies a strong and positive step in the overall merger process," It will enable the company to proceed to the next phase of the deal.

This April, Sony Pictures Networks changed its name to Culver Max Entertainment. However, the Sony brand name is still used for television networks and other online assets.

Last December, the companies signed definitive agreements to merge Zee into Sony and combine their linear TV networks, digital assets, production operations, and program libraries. The transaction would create the second-largest entertainment network, after Disney-Star in India, analysts had said back then.

The merged company would retain Zee’s stock market listing, though Sony would provide a significant cash injection and control a majority shareholding of close to 51 percent.

Zee’s Punit Goenka would lead the combined company as MD and CEO. The majority of the board of directors would be nominated by the Sony Group and would include the current MD and CEO, N P Singh.