Subhash Chandra Sells Stakes, Loses Control of Zee Entertainment
Essel Group will sell 16.5 percent of its shareholding in Zee Entertainment to financial investors.
The Subhash Chandra-led Essel Group, promoter of Zee Entertainment, on Wednesday, 20 November, said it will sell 16.5 percent of its shareholding in the media major to financial investors.
The decision, informed by the company in a stock exchange filing, is its second attempt to raise funds to pay off promoter entity debt.
Following the transaction, the promoter stake in Zee will stand at a reduced 5 percent.
Earlier this year, Essel Group sold up to 11 percent in Zee to Invesco Oppenheimer Developing Markets Fund for Rs 4,224 crore.
At that, Invesco already owned 7.74 percent stake in Zee Entertainment. These divestments in its flagship company, as well as some infrastructure assets, were prompted by large debt taken by Essel Group entities.
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