The market is obviously very thrilled that the three promoters of Zee - EMVL, Cyquator and Essel Corporate have got out from the group, selling more than 16.5% stake in Zee Entertainment Enterprises Ltd (ZEEL). Today, some 15.61% is said to have been sold through block deals on the NSE at Rs.304/share. The name of the buyers is not yet known.
This saw the stock price soaring up, becoming the top gainer on the bourses since morning. It opened 15% higher on the BSE at Rs.337.85, and then going on to hit an intraday high at Rs.353.20. It has come off that high now and is now at Rs.322 levels.
This stake sale is to bring down the debt and the company stated that its plan is to sell 2.3% stake in ZEEL to OFI Global China Fund, LLC and or its affiliates.
Pursuant to the aforementioned transactions, the post-transaction overall holdings of the Group in ZEEL will be 5%, out of which encumbered holdings of the Group will reduce to 1.1% of ZEEL.
The Group is also working actively on further divestments including its medial non-media assets and remains confident to complete the same.