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Sony push for top post stalls Zee merger talks
Mint Mumbai
|November 10, 2023
Sony views the allegations and investigation as corporate governance issues and wants to place its executive at the top
Talks on the mega-merger between Zee Entertainment Enterprises Ltd and Sony Pictures Networks India (SPNI) have stalled over the latter’s last-minute demand that its executive lead the merged entity instead of Punit Goenka as agreed before. According to two people aware of the matter, failure to reach an agreement by the 21 December deadline may derail the merger, the biggest in India’s entertainment industry.
In a scheme of arrangement signed on 21 December 2021, the two entertainment giants agreed that Goenka, currently managing director (MD) and chief executive officer (CEO) of Zee, will continue in the same position in the merged entity for five years. SPNI will own 50.86% of the merged entity, Zee’s promoters (Goenka family) will hold 3.99%, and the remaining 45.15% will remain with the public shareholders.
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