Moneycontrol PRO
Check Credit Score
Check Credit Score
HomeNewsBusinessCompanies

Stake sale in Zee: VTB Capital gets right to sell 10.71% held by Essel Media

Essel Media, a subsidiary of Subhash Chandra's cash-strapped Essel Group, had a 10.71 percent stake in Zee Entertainment.

October 16, 2019 / 10:21 PM IST
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

VTB Capital has got the right to sell the 10.71 percent stake held by Essel Media in Zee Entertainment Enterprises.

"Pursuant to the rights under the loan facility, and upon instruction from the lenders, VTBC has acquired the right to direct the disposal of 10.71 percent stake in the Target Company held by Essel Media Ventures on October 11, 2019, and this disclosure is being made accordingly. We have made consequent clarificatory changes to the form," the investment arm of Russia’ VTB Group said in a BSE filing on October 16.

This has been done with an aim to secure lenders’ interests in keeping with the terms of the financing arrangement. Clarifying further, the company said the face value of the share is Re 1, and not Rs 10, as was mentioned earlier.

On October 14, VTB had said that it had enforced certain security rights granted to lenders in order to protect their interests in accordance with the terms of the financing arrangement.

Essel Media, a subsidiary of Subhash Chandra's cash-strapped Essel Group, had a 10.71 percent stake in Zee Entertainment. In 2017, it had created a pledge on its 10.71 percent stake in Zee, in favour of VTB Capital.

Moneycontrol News

Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!

Advisory Alert: It has come to our attention that certain individuals are representing themselves as affiliates of Moneycontrol and soliciting funds on the false promise of assured returns on their investments. We wish to reiterate that Moneycontrol does not solicit funds from investors and neither does it promise any assured returns. In case you are approached by anyone making such claims, please write to us at grievanceofficer@nw18.com or call on 02268882347