ZEE group companies including Zee Entertainment Enterprises, Zee Media Corporation, Zee Learn and Siti Networks rose 1-5 percent in early trade on August 4 after parent company Essel Group settled most of the conglomerate debt.
In an open letter issued on August 3, chairman Subhash Chandra said that Essel Group has settled 91 percent of the debt pertaining to 43 lenders, and the remaining dues are in the process of being paid.
“We have come out of the financial stress situation by settling 91.2 percent of our total debt to 43 lenders in 110 accounts. 88.3 percent amount has been paid, while the remaining 2.9 percent is in the process of being paid,” said Chandra in the open letter.
He added, “We are making all the required efforts to settle the remaining 8.8 percent of our total debt. I have no regrets for parting with a substantial ownership in the business and specially in the ‘jewels of the crown’. This was done to keep the family’s honor.”
In the second open letter, Chandra reiterated that the group has exited or sold the businesses of infrastructure, financial services and print media, and a few more.
“Our Group Companies Zee Learn Ltd., SITI Networks Ltd. & Zee Media Corporation Ltd., are going through a difficult phase of their existence, mainly because of lack of capital.”
Chandra further said that he would like to settle the remaining outstanding dues before the end of this fiscal year.
Zee Learn was quoting at Rs 15.90, up Rs 0.25, or 1.60 percent and Zee Media Corporation was quoting at Rs 12.33, up Rs 0.58, or 4.94 percent.
Zee Entertainment Enterprises was quoting at Rs 210.55, up Rs 6.40, or 3.13 percent and Siti Networks was quoting at Rs 1.94, up Rs 0.08, or 4.30 percent on the BSE. Money Control