NCLT greenlights Zee’s exit from merger scheme with Sony

New Delhi: Zee Entertainment Enterprises (ZEEL) has officially withdrawn its merger scheme with Culver Max Entertainment and Bangla Entertainment (BEPL) following a settlement. 

The National Company Law Tribunal (NCLT) approved the withdrawal in an order dated September 5, 2024, which also recalled its previous sanction from August 10, 2023 that had approved the merger.

In August 2024, Zee and Sony reached a non-cash settlement, resolving disputes related to the Merger Cooperation Agreement and the Composite Scheme of Arrangement. 

According to ZEEL’s stock exchange filing, the merger was terminated by mutual agreement, with both companies withdrawing claims from arbitration at the Singapore International Arbitration Centre and other legal proceedings, including those in the NCLT.

The filing said, “The parties to the scheme have mutually consented to withdraw the scheme on account of settlement agreement and the board of directors has passed the resolutions on 27.08.2024 to withdraw the scheme of amalgamation.”