Mumbai: As part of its confidence-building exercise, the management of Essel Group has successfully arrived at an understanding with lenders which are having pledge on shares held by the promoters, thus diffusing the tension among the anxious stakeholders.
In view of the sensitive situation triggered due to the steep fall of the stock price of ZEE Entertainment Enterprises Ltd. and Dish TV Ltd., a detailed meeting of the Essel Group Promoters with the lending entities comprising of Mutual Funds, NBFCs and Banks was conducted.
In the meeting, the lenders further showcased their belief in the intrinsic value of ZEE Entertainment and Dish TV, resulting into the following aspects:
- There will not be any event of default declared due to the steep fall in price.
- As a result of the above, there will be synergy and co-operation, amongst lenders leading to a unified approach.
- Lenders drew comfort from reiteration by the promoters for a speedy resolution through a strategic sale in a time bound manner.
Chairman of Essel Group, Shri. Subhash Chandra, speaking on this development said, “I am pleased to share that we have achieved an understanding with lenders. We have always valued their immense trust and faith sown in us and the positive and progressive outcome of the meeting, is a true example of the same. I am very positive, that we will continue to take such positive steps in rising up from the current challenging times, with support of all stakeholders.”
Balasubramanian, CEO, Aditya Birla Sun Life AMC said, “We have always believed in the intrinsic value of ZEE Entertainment and most above, the sheer value system with which its promoters function. I am very glad with the outcome of the meeting, which enabled us to arrive at a consensus, in the interest of all stakeholders.”
