The Essel Group has announced that it is planning to sell 16.5% stake in Zee Entertainment Enterprises Limited (ZEEL) to financial investors. The company said in an announcement that this move is in order to repay loan obligations to certain lenders of the Group for whose benefit such shares are currently encumbered (and who have consented to such share sale by the Group).
Out of the aforesaid, the Group seeks to sell up to 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 up to 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 media/ non-media assets and remains confident to complete the same.