Tag: Sony Pictures

Sony Pictures and private equity firm interested in buying Paramount for $26 billion: Sources

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Sony Pictures and the private equity firm Apollo Global Management have expressed interest in buying Paramount Global for $26 billion, according to a person familiar with the details.

Sony would be the majority shareholder and Apollo would have a minority stake, according to the person, who requested anonymity because details of the offer have not been made public.

The Sony-Apollo offer was first reported by The Wall Street Journal. The Journal reported previously that Apollo had made an offer to buy Paramount on its own but Paramount’s board had concerns about the bid, including whether it could arrange financing for a deal.

The Journal and others have reported that Paramount is considering a possible merger with Skydance, David Ellison’s media company that has helped produce such Paramount releases as “Top Gun: Maverick” and “Mission: Impossible – Dead Reckoning.”

Earlier this week, New York-based Paramount said that Bob Bakish would step down as CEO of the film, television and multimedia company, to be replaced by a troika of executives who will form a new “Office of the CEO.”

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KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Sony Pictures Networks India CEO writes to employees, says new phase full of promise

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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In a letter accessed by CNBC-TV18 following the termination of the proposed $10 billion Zee-Sony merger deal, Sony Pictures Networks India CEO NP Singh said that it will actively explore new organic and inorganic possibilities to strengthen its market presence.

Singh said that Sony would grow subscribers and boosts revenue in India. “Our immediate focus will be back on unleashing our full potential, continuing to craft content that not only engages our audience but also boosts subscriber growth and revenues, thereby nurturing a culture rooted in excellence, pivotal for our ongoing growth and success.”

Here’s Sony’s letter to its employees:

Dear Team,

As we close the chapter on our proposed merger with ZEEL, I want to take a moment to talk to you – not just as your CEO but as someone who has been on this journey with you. This change in our plans allows us to step into a new phase of our story, which I believe is full of promise.

Our journey towards the merger has been remarkable, showing us how resilient and dedicated we can be when working towards a common goal. As we transition from this phase, I am, along with the senior management team, committed to setting the company up for a long-term, strong future. We will actively explore new organic and inorganic possibilities to strengthen our market presence.

Let’s turn our attention back to the heart of our work – our current projects, our fantastic team, and the audiences who count on us. Our immediate focus will be back on unleashing our full potential, continuing to craft content that not only engages our audience but also boosts subscriber growth and revenues, thereby nurturing a culture rooted in excellence, pivotal for our ongoing growth and success. We’ve always been at our best when innovating and pushing the boundaries of what we can achieve. The M&E world is constantly changing, and our journey is not just about adapting to change; it’s about leading it.

I express my deepest gratitude to each of you for your unwavering commitment and resilience. Your dedication is the driving force behind our success and the reason I have absolute faith in our bright future. Together, we have navigated challenges and celebrated triumphs, and this experience will be no different.

Let us enter this next phase confidently and optimistically. We have a world of opportunities waiting for us, and I am excited to embark on this journey with you all.

Here’s to our shared future, the stories we will tell, and the history we will make.

Thanks for everything you do.

Best regards,
NP

Zee gets multiple downgrades

Several brokerages have downgraded shares of Zee after its merger with Sony was called off. Brokerage firm CLSA has downgraded Zee to “Sell” from “Buy” earlier. It has also slashed its price target to ₹198 from ₹300 earlier. CLSA sees Zee’s valuation declining to August 2021 levels of 12 times price-to-earnings from the merger estimate of 18 times.

Citi has also downgraded Zee Entertainment to “Sell” after the merger was called off owing to non-operational concerns.

The brokerage has cut its price target on the stock to ₹180 from ₹340 earlier and also slashed its earnings estimates by 22% to 38%, respectively, for the financial year 2024-2026 as increasing competitive intensity takes centre stage.

Another brokerage that anticipates a sharp de-rating of Zee’s valuations is Elara Capital, which has halved its March 2025 price target to ₹170 from ₹340 earlier.

Sony Group on Monday ending a deal that could have created one of the South Asian nation’s biggest TV broadcasters.

Zee told stock exchanges Sony was seeking $90 million in termination fees for alleged breaches of their merger agreement and emergency interim relief by “invoking arbitration”. Zee said it denies all claims made by Sony and would take appropriate legal action.

Sony said in a statement certain “closing conditions” to the merger were not satisfied despite “good faith discussions” with Zee, and the companies had been unable to agree upon an extension by their Jan. 21 deadline.

“After more than two years of negotiations, we are extremely disappointed … We remain committed to growing our presence in this vibrant and fast-growing market,” it added.

While neither Sony nor Zee elaborated on Monday on which conditions had been unfulfilled, a stalemate over who will lead the combined company had put the merger in danger.

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KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Disney Star, Zee and Sony switch off signals over tariff row with cable operators

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Three leading broadcasters — Disney Star, Zee Entertainment Enterprises and Sony Pictures Networks India Ltd. have stopped providing feed to cable operators. This comes after these broadcasters and local cable and multi-system operators exchanged barbs over the New Tariff Order (NTO).

As per the information, broadcasters have stopped providing feed to cable operators which have not signed fresh agreements with increased prices under the NTO 3.0 who came into force in February 2023 after a new order by the Telecom Regulatory Authority of India (TRAI).

After the new order, the broadcasters had affected a hike of 10-15 percent on channel offerings, which didn’t go well with a group of cable operators.

This decision is all set to impact over four crore subscribers in the country.

Last week, the Indian Broadcasting and Digital Foundation (IBDF) in a statement charged All India Digital Cable Federation (AIDCF) members of making “inaccurate remarks regarding the new price regime” and invoking “consumer sentiment”.

However, IBDF later stated that most DTH and cable operators have already started implementing the new prices that will result in increased consumer prices by approximately five per cent after four years.

“Even as all DTH (direct to home) operators, which include Airtel and Tata Play, and most cable operators across India, have signed agreements with broadcasters as per the new TRAI guidelines, a handful of cable operators with a sizeable subscriber base are refusing to come on board.,” Indian Express quoted an Industry insider.

Also Read:Pathaan becomes first Hindi movie to cross Rs 1,000 crore mark at worldwide box office, creates history

With inputs from PTI

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KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Zee-Sony merger approved; experts decode deal

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The board of directors of entertainment major Zee Entertainment Enterprises Limited (ZEEL), on Wednesday, has approved the binding agreement with Sony Pictures Networks India (SPNI), a subsidiary of Sony Pictures Entertainment. The approval comes a day after the 90-day exclusivity period of the non-binding bid ended yesterday.

Punit Goenka will lead the merged entity as the managing director and CEO of the company. The majority of the board of directors of the combined company will be nominated by the Sony Group and will include the current SPN Managing Director and CEO NP Singh. Singh will also assume a broader executive position at SPE as the Chairman of Sony Pictures India (a division of SPE). Singh will report to Ravi Ahuja, the chairman of Global Television Studios and SPE corporate.

In an interview to CNBC-TV18, Hetal Dalal, president and COO of Institutional Investor Advisory Services, Shashi Sinha, chairman of Media Research Users Council India, and S Raghunath, Professor at IIM Bangalore, discussed the deal at length.

Also Read: Zee shares gain over 2% after board approves merger with Sony

First up, Dalal said, “We will have to see how Invesco (largest minority shareholder in Zee) reacts to this. It’s not a perfect deal. Will they be able to handle the pieces that they do not like is the question.”

Meanwhile, Raghunath said, “This is a welcome move. For a very long time, Zee has struggled on the technology front. So, if the synergies come in with Sony’s board members having a majority in the newly formed entity’s board, the decision of integrating technology with entertainment will get a quantum leap and hopefully, the synergies will create a better entertainment market in our own country and consumption will go up. Therefore, in terms of consumption, market space growth, this is a welcome move.”

Also Read: Zee-Sony merger: Agreement goes through, Punit Goenka to lead merged entity

According to Sinha, “This is an industry which requires a huge investment and perhaps is the most fragmented industry in the world. So consolidation is good and it’s good news all-round.”

For the entire discussion, watch the video

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Zee-Invesco tussle: Experts say everything appears grey; stock may be rerated

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Invesco Developing Markets Fund hit back at the management of Zee saying the company’s latest disclosures are a ploy to delay the extraordinary general meeting (EGM). Earlier on Tuesday, Zee had said Invesco had been pushing the company to sign a deal with Sony and another ‘investor’.

Zee did not name the investor. Invesco has rejected this claim saying the deal was negotiated by and between Reliance and Zee’s promoter.

To discuss these developments, CNBC-TV18 spoke with JN Gupta, the former executive director of SEBI and MD of the Stakeholders Empowerment Services, along with Karan Taurani of Elara Securities.

As it turns out, Zee had not just one but two deals on the table. When asked Gupta if both these things could happen parallelly – deals get discussed and the board gets reconstituted. Gupta said we have to shareholders are the ultimate owners for the company. So whatever the courts decide on whether EGM may or may not happen, the decision will be taken by the shareholders.

“The problem is very simple here, that none of us knows which side is coming out with truth or a white paper. Everything appears to be grey, but not white. One thing is very clear that neither Invesco came with a clean hand nor Zee came with the clean hand,” said Gupta.

When Invesco said they wanted to remove Punit Goenka, they did tell shareholders the actual reason–the corporate governance issue. They wanted to bring six new directors but nobody knew why, Gupta added.

Similarly, there is a small problem with the report Zee released yesterday. “Read the letter and note separately. The note states Punit Goenka had not kept the board informed and is informing now. While in the letter it is written the senior staff and board was apprised of the situation and they were told it is not value-accretive for ZEE, said Gupta.

Also Read: Invesco says proposed deal with RIL was negotiated by promoters of Zee; rejects it was dilutive for shareholders

According to Gupta, there is one common factor in both the deals: Punit Goenka was going to continue as managing director. So, now the question arises why suddenly Invesco wants to remove Punit Goenka? Because in the first place, if Invesco was not in favour of the deal earlier in February, why did it not object at that time?

Gupta said, “I am confused, you are confused and shareholders would be confused surely, so the issue is how shareholders will decide and so somebody would have to guide. We are there to guide but probably we would not be in a position to guide unless until we have all the facts with us because on half-baked information whatever guidance we give may not be 100 percent correct.”

As of now, shareholders have no choice to make whether they want to remain invested in ZEE or not because no meeting has been called. However, one thing is certain that is there is going to be a changed ownership pattern. “Either it will merge with Company A or Company B, I do not know and also do not know which company will be better. So, for shareholders as on date, the decision is only whether they see a bright future or not,” Gupta added.

“Looking at the two suitors, both the suitors are with deep pockets. So I would not say ZEE is in for trouble in the long run if either on the deal happens but the contours of the deal would have to be decided,” he added.

“The most important part, at this juncture, I think is the regulator’s role now. The regulator must call for all the details and see who is misguiding and if anybody is misguiding the investors, it should be taken to task because you cannot play with the investors’ money and their sentiment by releasing half-baked information or wrong information in the public domain,” explained Gupta.

When asked how he viewed the Zee stock at this juncture, Taurani said, things are going to turn around for ZEE, either way, be it with Reliance or with Sony, in terms of what has come out in the public domain as of now.

If Zee deals with Sony, in terms of genres and markets they cater to, there are little chances of overlap. The same can’t be said for a deal with Reliance, Taurani said. “But if you look at Reliance for that matter, there is some kind of overlap in the regional genre with Zee and also in the rural genre put together,” Taurani said.

“There are some pros and cons on both sides. If the deal happens with Sony, there is a big advantage (for Zee) because sports is an offering with Sony, which TV18 does not have. And they can go to market very aggressively with Sony in terms of the entire content bundling put together – on digital and TV segments. Whereas in the case of TV18, they would have this advantage of JIO in terms of the distribution angle put together,” he further added.

Either way, the stock would definitely trend upwards but the quantum of rerating would be the deciding factor here. So, the lesser the overlap, the better the packaging, the better the strategy that will decide the quantum of re-rating, Taurani said.

Broadcasting businesses are trading close to 14-16 times one year forward PE. And if a large company like Zee merges with either TV18 or even with Sony for that matter, you will see rerating and that quantum could be 10-20-30 percent, Taurani said. The re-rating would depend on business strategies, execution, and management intent, he added.

Elara Securities currently has a target price of Rs 390 on Zee. “We have given Zee a rerating multiple times after the Sony deal came out. And it was just a matter of due diligence, which probably is going on,” he said.

However, if Sony deal is called off, multiples will again come to 14-16. But apparently, the new news is if the deal with Reliance Industries were to go through, we may see some minor rerating, Taurani said. “But we will have to assess in terms of the quantifiable impact,” he added.

For the full discussion, watch the video

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Zee EGM: Here’s why Invesco moved NCLT

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The boardroom battle between Invesco and Zee Entertainment has taken a judicial turn. Fireworks can be expected at the NCLT hearing today as the two warring camps Invesco as well as ZEE Entertainment come face to face.

US-based Invesco Developing Markets Fund, on Wednesday, September 28, moved the National Company Law Tribunal (NCLT) against Zee Entertainment Enterprises Ltd (ZEEL) for failing to announce a date for the extraordinary general meeting (EGM) to remove Zee’s chief executive officer and managing director, Punit Goenka and reconstituting the board.

When CNBC-TV18 reached out to Invesco and asked on the merits of the case and why they had moved NCLT against Zee Entertainment, Invesco said that it was because of ZEE’s failure to take steps within the notice period to call an extraordinary general meeting (EGM) and also because of the delay in noticing the EGM’s call on September 11, and failure to notice the September 23 letter to the exchanges.

Earlier this month, Invesco Developing Markets Fund and OFI Global China Fund LLC collectively holding 17.88 percent stake in ZEEL, had sought an extraordinary general meeting to remove Punit Goenka and two independent directors Manish Chokhani and Ashok Kurien from the position of directors. Chokhani and Kurien had subsequently resigned from the board.

When CNBC-TV18 reached to Zee Entertainment and asked them about their plan of action and their response to the NCLT, they said that the board remains committed to act within the framework of law and that they were in the process of taking required steps within the statutory period.

What is statutory period?

Experts say 21 days is given to any company to call for an EGM once the requisition letter has come from a shareholder. As per the rules, ZEEL has up till October 2 to call for an EGM and Invesco’s requisition was sent to ZEEL on September 11. So a few more days are remaining for the Zee Entertainment board to act upon this. Moreover, as per law entire 45 days are required to complete the process of EGM, so they can push it by three more days as per law.

Also Read: Zee EGM: LIC says policyholder interest of paramount importance while exercising vote

Invesco had written to Zee Entertainment opposing its recently announced merger with Sony Pictures India. It termed the occurrence as symptomatic of the company’s erratic manner of handling important and serious decisions. It also reiterated its demand for removal of Punit Goenka.

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KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

As Invesco reiterates demand for Zee EGM, expert says current board within rights to take any decision

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Zee Entertainment Enterprises was in focus on Monday as its single largest shareholder, Invesco, has written a new letter to the company’s board to call for an extraordinary general meeting (EGM). Invesco is reiterating its demand for the reconstitution of Zee’s board and the removal of Punit Goenka as director.

“The Board of Directors of ZEEL at its meeting held on September 22, 2021, has approved the execution of a non-binding term sheet with Sony Pictures Networks India Private Limited, in relation to a potential transaction involving a composite scheme of arrangement for the merger of the Company and Sony India and infusion of growth capital by the promoters of Sony India into Sony India as part of the merger,” Zee Entertainment said on September 22.

Now with this new letter, where does the game of brinkmanship between Invesco and the Zee board stand at the moment? To discuss this in detail, CNBC-TV18 spoke with experts JN Gupta, MD, Stakeholders Empowerment Services, and Abneesh Roy of Edelweiss Securities.

Asked whether the media giant’s current board is well within its powers to take these decisions while the EGM process goes on, Gupta cited the example of the election process in India, where the Election Commission has a moral code of conduct which begins when that election dates are announced.

There is nothing like that in the corporate governance code, he said. When an EGM notice is given, the company’s board does not stop to only start working normally only after the EGM is conducted. “I would disagree with this concept that the entire thing would put to be put to hold under until the EGM is held,” he said.

Also, both proposals will go to shareholders for approval, he said.

“So, if the current board has decided to go ahead with whatever they have decided, it has not lost sanctity because that proposal also will be put to the same body to which the EGM notice is going to be put,” said Gupta. If the same body is deciding on two proposals, there is nothing wrong with that, and it is not that the board has lost the moral sanctity to do that, he said.

Roy is of the view that the letter was in fact a bit surprising given there are three weeks for ZEE to announce on the EGM.

According to him, this doesn’t change much, because now a lot of investors would also feel that the ultimate end goal would have been a strategic player. Many investors also feel that operationally, Punit Goenka has done a decent job.

“ZEE promoters and the largest minority shareholder will need to work on this because for the EGM, Invesco would also need around 33 percent more support. Similarly, for the Sony deal, the ZEE promoters would need around 70 percent more support, and they would need that out of balance 82 percent if Invesco doesn’t support,” said Roy.

Also Read: Strategic Zee-Sony deal still underway; Invesco move likely backed by majority shareholders: Experts

He said it is good to see that Invesco is also saying that there is a need to evaluate the Sony deal with an independent board, and ZEE is valuable with or without the deal, which is a positive. A lot of investors feel that most of the concerns are getting addressed. But anything on the EGM does lead to volatility because then the merger and approvals could get delayed.

Roy expects volatility in the stock to continue till clarity emerges on the EGM front. One will also have to see how the approvals from the different regulators come through, he said.

Both parties seem to be working with a similar end goal, although currently, it looks like that their process is slightly different, he said.

Key takeaways

The current board is well within its rights to take any decision. Ultimately, whether or not the Invesco proposal goes through,  all these proposals that go through will be through a democratic election, where the shareholders will have to give a 50 percent vote of approval.

For the entire conversation, watch the video

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Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Not comfortable with non-compete fees being paid to Zee promoters: IiAS

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Zee Entertainment has signed a merger deal with Sony Pictures Networks India Private Limited, the company said in an exchange filing, on Wednesday. Punit Goenka will continue to provide services to the merged company as MD and CEO for a period of 5 years. Zee Entertainment will hold 47.07 percent, while Sony India will hold 52.93 percent stake in the merged company.

In an analysts’ concall last evening, Punit Goenka said that the board has not reached out to shareholders like Invesco and LIC on the proposed transaction with Sony. Goenka said, “Sony will also come on board as a promoter in the merged entity and will have the right to appoint majority directors on the board, which will manage and control the business and affairs of the company.” Goenka also went on to say that he does not see any risk to the transaction and stated that no open offer will be needed.

Meanwhile, the management of Zee said, “As a part of the deal, there is a transfer of certain stake which will happen from Sony to the promoters, so that the promoters don’t enter into a conflicting business. So the resulting shareholding post this transaction for the existing promoters is going to be 4 percent. But just to make it clear, the company is not going to pay to the promoters anything. This is a transfer from Sony to the promoters. This is a transfer in lieu of the family not entering into a conflicting business. Sony has made it clear that the appointment of Mr Goenka as MD and CEO is an integral part of the deal. We will be taking this as a composite scheme. We haven’t reached out to the shareholders.”

To discuss the recent developments, CNBC-TV18 spoke with Amit Tandon, MD, IiAS, and Karan Taurani, SVP research analyst, Elara Securities.

First up, Tandon said, “It would be a bit early to say because based on what has been disclosed – there are parts of the transaction, we have some concerns about and there are parts which we don’t understand. One, the fact that you are creating a larger entity with deeper pockets, you have got access to someone who understands the media space is something, which we welcome. We are not a great supporter of the non-compete fees being paid to the promoters, though we recognise in this instance, it’s a deal between Sony Television and the promoters and the shareholders in that sense are not directly affected. But nonetheless, realistically, you have to recognise that the market itself has changed very significantly and therefore, you need very deep pockets to start investing in this sector and that’s something which has been affecting the promoters.”

He further said, “What we don’t understand at this moment, is this whole agreement, taking it from 4 to 20 percent, I understand it’s a part of the shareholder agreement, it can’t be something which the company itself commits to. Does it mean that Sony transfers its shares, do they get to buy from the market, etc. This is something which is not clear and could become a little bit contentious as far as the investors are concerned.”

However, Tandon believes that the shareholders can take a great deal of comfort in the fact that Sony is now sitting in the boardroom and providing adult supervision.

Meanwhile, Taurani said, “This is a very good structural move, there will be a rerating in the stock, you have an MNC-backed promoter, all your corporate governance issues go away. Then you have someone like Punit Goenka, who is very good in terms of running the broadcasting business, Zee has been one of the most profitable companies in the TV segment today.”

He further mentioned, “They need to only work on the digital segment where there is a lag, where the segment is dominated by larger players like YouTube, Hotstar, etc. That is where the major play is, otherwise TV business is where there’s too much of synergies, which can be shared between both the companies, which can work very favourably for the entity.”

For the full discussion, watch the video

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Zee Chairman R Gopalan says focussing energy on Sony deal

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The Zee board gave its nod to a proposed merger with Sony Pictures, the company said in an exchange filing on Wednesday. The latter has promised a further infusion of $1.6 billion for control and to drive growth. Experts believe the merger can address governance and growth concerns.

Though it is not binding, Zee Entertainment and Sony Pictures Networks India Private Limited have agreed to an exclusivity period of 90 days. Perhaps, a deal will be consummated at the end of it. The stock, meanwhile, is reacting in an extremely positive way.

R Gopalan, Chairman, Zee Entertainment said, “We have been focusing our energies on this deal. So we are working on how to get this deal going through. These are the primary stages, what we have discussed with Sony, there is a lot of other due diligence, and the process has to go on. So it will take its own time, it has its own calendar. There are processes, which include involving shareholders.”

Read Here: Here’s a look at Zee Entertainment’s valuations after its deal with Sony

Gopalan added that the board is seized of the EGM matter and that there is a due process of law, which it will follow.

On working out on valuation Gopalan said, “The basis of the valuation is we go through the process of mainly EPS, and all those calculations are looked in to, the cohort which is there in this particular area, in this particular set of company, that data is taken into account,” 

He added that the deals in the communication sector over a period of time have also been taken into account. 

Speaking about future ETF expectations, he said after taking into account all the factors, the company arrives at the ratio, which has to be based on enterprise value. “Some ratio has been worked out, cash infusion is taken into account after which ratio undergoes some changes,” he added.

Also Read: What does Zee-Sony deal mean for investors? Here’s what Vallabh Bhanshali has to say

On digital strategy, Gopalan said, there is a clear objective that OTT assets, both in content and in operations, have to be used in a way that the shareholder value is maximised and a broad principle under this is being worked out. He added, “It is too early to make any comments on the kind of strategy or operational details.”

Zee Chairman said promoters are not being paid out of the resources of the combined entity. “They are being paid separately by Sony from its own resources,” he said.

Also Read: Synergies between Zee-Sony likely; prefer private sector banks but valuations matter: Samir Arora

He added that the firm has come up with a structure, which is good for the shareholders of both companies. “Now, we will have to see how the acceptance is among the shareholders. From our understanding, we think that the deal is good but the shareholders will have to decide whether it is good,” he said

For the full interview, watch the accompanying video…

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow