Zee Entertainment Enterprises said on Wednesday its promoters led by Subhash Chandra are open to selling more than 50 percent of equity stake in the company, if strategic partner demands it.
"Promoters open to selling more stake if strategic partner demands it," Punit Goenka, CEO of Zee Entertainment, told CNBC-TV18.
The comments come a day after the company, in a stock exchange filing, said it was looking to divest up to 50 percent stake in the Zee Entertainment Enterprises to a foreign strategic partner.
Chandra and family along with its advisors met in Mumbai over the Diwali weekend to undertake a strategic review of its businesses in view of the changing global media landscape, promoter Essel Group said in a statement.
The move is expected to address the Essel Group’s capital allocation priorities and “to pursue disruptive technological development and transform the business into tech-media company”.
Goenka clarified that the proposed deal was not aimed at de-pledging promoters' stake in the company. The proposed transaction is expected to address the Essel Group’s capital allocation priorities.
Goenka added that a strategic partner can come at the parent level or the subsidiary level and that the company has garnered 'serious interest' from several players over the last few months.
As of quarter ended September, promoter and promoter group firms held 41.62 per cent stake in Zee. At Tuesday’s closing price of Rs 438.2 per share, their total holding is worth around Rs 17,517.49 crore.
(With inputs from PTI)