'Re-modelling' exercise: ZEEL issues clarification on layoffs

Zee Entertainment Enterprises Ltd (ZEEL) on Wednesday issued a clarification following a media report titled "Zee announces more layoffs as business takes a hit after failed Sony merger."

"In this regard, we would like to clarify that as a part of its omni-channel approach, the Company has been re-modelling and integrating its business divisions to create a more agile and collaborative organisation structure. This exercise is a part of the consistent and strategic efforts being taken to ensure sharper focus on goals and performance. Furthermore, this optimisation is an ongoing exercise based on business dynamics and has no impact on the operation/performance of the Company," the media firm stated.

"We further clarify that the Company had submitted the press release with the stock exchanges on April 5, 2024, captioned 'ZEE's MD & CEO proposes lean organisation structure to the Board wherein we initiated the process of rationalisation of workforce by 15% across the Company over a period,'" it added.

"We would also like to state that the Company has always complied with its obligations under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 and will continue to make disclosures in accordance with the same," ZEEL further stated.

On the market front, ZEEL shares were trading 1.49 per cent higher at Rs 99.05. Despite Wednesday's uptick, the stock has declined 19.50 per cent on a year-to-date (YTD) basis.