In a major relief to debt-ridden Subhash Chandra's Essel Group, lenders and creditors of the company have given them a three-month time till April to find a buyer to repay dues. Promoter and Chairman of the Essel Group, Subhash Chandra, got 90 days breather from lenders and creditors to find a buyer for half his stake in the flagship Zee Entertainment Enterprises, an Economic Times report said.
According to the data available with exchange, ZEE promoters hold 41.62 per cent in the company, of which 59.37 per cent are pledged with lenders.The development came after Essel Group on Sunday issued a statement that it has successfully arrived at an understanding with lenders, which are having pledge on shares held by the promoters.
"In view of the sensitive situation triggered due to the steep fall of the stock price of ZEE Entertainment Enterprises and Dish TV, a detailed meeting of the Essel Group promoters with the lending entities comprising of Mutual Funds, NBFCs and Banks was conducted," it said.
In the meeting, lenders drew comfort from reiteration by the promoters for a speedy resolution through a strategic sale in a time bound manner, the multi-faceted business conglomerate said.
Commenting on the development, Chandra, said: "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."
"I am very glad with the outcome of the meeting, which enabled us to arrive at a consensus, in the interest of all stakeholders," said A Balasubramanian, CEO, Aditya Birla Sun Life AMC.
Boosted by the development, the shares of Zee Entertainment Enterprises rose 14.29 per cent to Rs 365 apiece in early trade compared to its previous close of Rs 319.35 on the BSE. The stock tumbled over 26 per cent on Friday after it was reported that the company was in a financial mess due to the aggressive bets on infra, which had gone out of control since the IL&FS crisis, and also the acquisition of Videocon's D2H business.
Edited by Chitranjan Kumar