ZEE Entertainment Enterprises fell 7% today. 2023
Shares of ZEE Entertainment Enterprises Ltd or ZEEL fell 7 percent on Friday amid concerns that the proposed merger of the media company with Sony Pictures Networks India (SPN) could face a fresh setback as the capital market regulator Sebi asked stock exchanges to submit an order dated April 25 as part of the record, NSE and BSE told National Company Law Tribunal (NCLT).
According to reports, stock exchanges have informed the NCLT that the promoters of the Essel Group’s Shirpur Gold Refinery allegedly redirected company assets for their own benefit.
The notification was in response to instructions from the Sebi, which had issued a show cause notice and interim order against the refiner and cited violations of other regulatory provisions, as reported by the ET.
ZEE Entertainment shares on BSE dropped 6.56 percent to a low of Rs 179.35.
The share price is down 24.68% year-to-date.
The exchanges reportedly informed the company law tribunal on Thursday that they may be compelled to reconsider their approvals of the Sony-Zee merger in light of Sebi’s instruction in light of its order against the Essel Group entity.
In April, Sebi issued an interim order against Shirpur Gold Refinery, its former chairman Amit Goenka, promoter Jayneer Infrapower and Multiventures, and five others for allegedly embezzling company funds and violating other regulations.
