ZEEL promoters raise Rs 4343.18 cr through sale of 15.7% stake

MUMBAI: ZEEL promoters have raised Rs 4343.18 crore through the sale of 14.28 crore shares at an average price of Rs 304 per share. In all, the promoters sold a 15.7% stake through block deals on the NSE.

At Rs 277 per share, the floor price of shares was set at a 10% discount to Wednesday’s closing price of Rs 307 apiece.

Promoters Essel Media Ventures, Cyquator Media Services, and Essel Corporate LLP sold 6.94 crore, 6.16 crore, and 1.18 crore shares respectively. As a result, the promoter holding in ZEEL has fallen to 5%.

The shares were bought by a clutch of institutional investors namely Government of Singapore (2.85 crore), Societe Generale (1.66 crore), JNL Invesco Global Real Estate Fund (82.5 lakh), Key Square Master Fund II LP (60 lakh), Norges Bank On Account Of The Government Pension Fund Global (70 lakh), and Smallcap World Fund INC (76.73 lakh).

“I am overwhelmed by the positive response received from our investors. Glad to share that the book was over-subscribed by approximately 3 times. I am grateful to our lenders and investors for their trust and support. I remain committed to elevate ZEE to a global media & entertainment powerhouse,” said ZEEL MD & CEO Punit Goenka, whose tenure was recently extended by five years.

On 20th November, the Essel Group had said it is planning to sell an additional 16.5% stake in Zee Entertainment Enterprises Limited (ZEEL) to financial investors in order to fulfill its debt repayment obligations. The group will sell a 2.3% stake in ZEEL to OFI Global China Fund, LLC and/or its affiliates.

Earlier, Essel Group had sold an 11% stake in ZEEL for Rs 4,224 crore to Invesco Oppenheimer Developing Markets Fund. Invesco had paid Rs 400 a share for ZEEL which is a 10.7% premium to ZEEL’s 31st July closing price of Rs 361.45 on BSE.

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