Financial Insights

Invesco to sell 7.8% stake in Zee

US investment firm Invesco, which is the largest shareholder in Zee and was locked in a legal battle with them, has announced that it will sell 7.8% out of it’s 17.8% holding in the media company.

The stock is worth around Rs 2,200 crore and the price range shall be Rs 270-290. Kotak Mahindra Bank shall act as banker of the sale.

“Three funds managed by Invesco’s Developing Markets investment team, including Invesco Developing Markets Fund, are launching a bookbuild transaction today to sell up to 7.8 per cent of the share capital of Zee Entertainment. The purpose of this transaction is to align these funds’ exposures to Zee with other funds managed by the investment team and to achieve an aggregate ownership position in the company that is more in line with the investment team’s portfolio construction approach,” Invesco said in a statement.

The development comes less than two weeks after Invesco withdrew its demand for an extra-ordinary general meeting (EGM), which it was pursuing since September 2021, to push for the ouster of Zee’s CEO Puneet Goenka and also appoint 6 independent directors on the Board. However, the company decided to drop the idea and openly supported the Zee-Sony merger.

The stock fell over 3% yesterday and has fallen 1.9% today to trade around Rs 285.50 per share.

Highlight by Aman Agarwal.

Related Articles

Back to top button