INSUBCONTINENT EXCLUSIVE:
Dish TV rose by 5.53 per cent to Rs
23.85 from its previous close.The Zee Entertainment Enterprises Ltd (ZEEL) stock gained 16.64 per cent on Monday after Zee and Essel Group
Chairman Subhash Chandra said that the company has successfully arrived at an understanding with lenders to whom the shares held by the
group's promoters have been pledged.Accordingly, the ZEEL stock gained 16.64 per cent at Rs 372.50 a share, up Rs 53.15 from its previous
close on the BSE.Similarly, the scrip of another group firm, Dish TV India, made healthy gains on Monday
It rose by 5.53 per cent to Rs 23.85 from its previous close.Zee had said late on Sunday that it has reached an agreement with its lenders
said that the Zee promoter Essel Group was involved in money laundering in the aftermath of the November 2016 demonetisation, the shares of
release on Sunday, the Essel Group said it has arrived at an agreement with its 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 ZEEL and Dish TV Ltd, a detailed
meeting of the Essel Group promoters with the lending entities comprising mutual funds, NBFCs and banks was conducted," it said."In the
meeting, the lenders further showcased their belief in the intrinsic value of Zee Entertainment and Dish TV, resulting in the following
aspects: There will not be any event of default declared due to the steep fall in price."Lenders drew comfort from reiteration by the
promoters for a speedy resolution through a strategic sale in a time-bound manner."In an "open letter" on Friday, Essel Group Chairman
Subhash Chandra apologised to bankers, NBFCs and mutual funds for "not having lived up to their expectations" and being in debt due to the
failure of multiple infrastructure projects, and said that he intended to pay back the loans through the sale of his promoter stake in
ZEEL.In a stock exchange filing on Sunday ZEEL clarified that it has no connection with any of the transactions said to have been carried
out by its promoter Essel Group, as alleged in the media report.The media report claimed that the SFIO was probing Nityank Infrapower for
deposits of over Rs 3,000 crore made just after demonetisation was announced on November 8, 2016.It also claimed that Nityak Infrapower and
a group of alleged shell firms had carried out financial transactions that involved a few companies associated with the Subhash Chandra-led
Essel Group between 2015 and 2017.
