MUMBAI: Bitter boardroom battle resolved, Invesco, the single largest shareholder in Zee Entertainment Enterprises Ltd, declared Wednesday that it would divest up to 7.8% of its stake in Zee via a block deal on April 7.
The US investment firm holds a 17.88% stake in the media conglomerate founded by Subhash Chandra, along with OFI Global China Fund LLC, will by selling 74 million shares, worth around Rs 2,200 crore (Rs 22 billion).
The price will range between Rs 270 and Rs 290 per share, and Kotak Mahindra Bank will be the banker for the block deal, reported CNBC-TV18.
“Three funds managed by Invesco’s Developing Markets investment team, including Invesco Developing Markets Fund, are launching a bookbuild transaction today to sell up to 7.8 per cent of the share capital of Zee Entertainment. The purpose of this transaction is to align these funds’ exposures to Zee with other funds managed by the investment team and to achieve an aggregate ownership position in the company that is more in line with the investment team’s portfolio construction approach,” Invesco said in a statement.
“Upon completion of the bookbuild, funds managed by Invesco’s Developing Markets investment team, including Invesco Developing Markets Fund, will continue to own in aggregate at least 11 per cent of Zee, underscoring the investment team’s belief that the Sony deal in its current form has great potential for Zee shareholders,” the statement added.
