Zee Entertainment Enterprises Ltd’s shares climbed 3% on Monday following reports that the company has reached out to Sony Group to reconsider its $10 billion merger, which was terminated earlier this year.
According to an Economic Times report, Zee is making a last-ditch effort to revive the deal, which was called off by Sony in January. Industry sources suggest that Zee initiated discussions this month, seeking to resolve the issues that led to the termination.
The move comes amid ongoing legal battles between the two parties, with Sony filing arbitration proceedings in the Singapore International Arbitration Centre (SIAC) over a $90 million termination fee. Zee, on its part, had sought the National Company Law Tribunal’s (NCLT) intervention to enforce the merger.
A Zee spokesperson declined to comment, citing the matter as subjudice, while Sony is reportedly evaluating the proposal.
At 9:20 am, Zee shares were trading at ₹127.99, up 2.29%, reflecting optimism among investors regarding a potential reconciliation.
This development marks a critical juncture for Zee, as a successful merger could significantly bolster its market position and operational synergies in the media and entertainment sector.
