Shares of Zee Entertainment Enterprises Ltd opened higher but soon gave up gains after 5.48 crore shares or say 5.7 per cent of the total equity exchanged hands in a large block deal. The transaction is valued at Rs 1, 119 crore, but the details of the buyers and sellers were not known.
The stock was trading flat at Rs 208.20 from its previous close while India’s benchmark Sensex fell 1.22 per cent or 782 points to 59692 points.
As per a report by CNBC-TV18 last week, Oppenheimer is looking to offload a 5.65 per cent stake in the company in a deal valued at Rs 1,130 crore. As per the report, the stake sale was supposed to take place between Rs 199.80-208.15 per share, a discount of 0-4 percent to the previous closing price of Rs 208.15 per share on the NSE.
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According to other news report, OFI Global China and other funds managed by Invesco Developing Markets Fund were planning to sell its 5.6 per cent stake in Zee entertainment Enterprises. Invesco, along with the funds linked to it, was the largest public shareholder in Zee and held as high as an 18 per cent stake in September 2021, when it had called for the removal of the company’s managing director Punit Goenka.
However later, Invesco had dropped the demand for Goenka’s ouster in May 2022 and has since supported the company’s proposed merger with Sony Pictures Networks India. Invesco, last year, sold 74.3 million shares of ZEEL, in a bulk deals at an average price of Rs 281.46 per share for a total of Rs 2,092 crore. Zee’s Q4 results are yet to come and it remains keenly watched out for.
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