Zee Leisure Enterprises Restricted (ZEEL) Chairman Emeritus Subhash Chandra on July 3 clarified that the promoter group will neither increase debt nor pledge shares to finance the proposed ₹2,237 crore fund infusion into the corporate by warrants.
Chandra made the feedback throughout a name exceeding 90 minutes with analysts and traders, which ZEEL described as a part of its ongoing efforts to reinforce company governance and shareholder engagement.
“No, we aren’t taking any loans, nor are we pledging any shares. The funds being utilised are our personal — they’re recoveries from promoter-linked entities, which have come again to us,” Chandra instructed analysts and shareholders.
The promoter group’s deliberate funding has drawn scrutiny from proxy-advisory companies, as it might increase the shareholding of Punit Goenka and his household from 3.99 p.c to 18.39 p.c. ZEEL shareholders are scheduled to vote on the particular decision between July 6 and July 9.
ZEEL is about to obtain ₹2,237.4 crore by a preferential allotment of totally convertible warrants, with the corporate proposing to challenge 16.95 crore warrants at ₹132 every, topic to shareholder approval.
The corporate said that this capital infusion is a part of a broader technique to strengthen its monetary base and drive long-term development, notably in content material innovation and digital infrastructure. Administration believes the contemporary capital will assist stabilise the steadiness sheet and assist new initiatives in India’s evolving leisure sector, together with digital-first content material and platform investments aimed toward creating shareholder worth.
Chandra acknowledged ZEEL’s current money reserves of round ₹2,400 crore however burdened the necessity for added capital to stay aggressive.
In accordance with reviews, Chandra doesn’t intend to attend the complete 18-month interval allowed to herald the warrant funds, aiming as a substitute to infuse your entire quantity as early as attainable. Below the warrant phrases, 25 p.c of the funds are payable upfront, with the remaining 75 p.c due inside 18 months.
