Skip to content
Search

Latest Stories

Zee and Sony resolve disputes over failed merger

Sony and Zee logos are seen in this illustration taken January 30, 2024. (Photo credit: Reuters)
Sony and Zee logos are seen in this illustration taken January 30, 2024. (Photo credit: Reuters)

ZEE Entertainment Enterprises Ltd (ZEEL) and Sony Pictures Networks India announced on Tuesday that they have settled their six-month-long dispute related to the failed £7.6-billion merger. Both companies have agreed to withdraw all claims against each other.

As part of the "comprehensive non-cash settlement" between ZEEL and Culver Max Entertainment Pvt Ltd (CMEPL), both parties will withdraw all respective claims in the ongoing arbitration at the Singapore International Arbitration Centre (SIAC) and all related legal proceedings initiated in the National Company Law Tribunal (NCLT) and other forums, according to a joint statement.


Additionally, the companies will withdraw the respective Composite Schemes of Arrangement from the NCLT and notify the relevant regulatory authorities.

Both ZEE and Sony had previously claimed a termination fee of £68 million (approximately £9.5 crore) from each other, alleging non-compliance with the Merger Cooperation Agreement (MCA) signed in December 2021. Sony initiated arbitration proceedings at the SIAC two days after the termination of the deal, claiming that ZEEL had not met the merger conditions and sought the termination fee.

ZEEL contested this claim at the SIAC, which did not grant any interim relief to Sony against the Indian broadcaster. ZEEL also approached the NCLT seeking implementation of the proposed merger but later withdrew its plea.

In May, ZEEL terminated the MCA with a letter dated May 23, 2024, and sought a termination fee of £68 million from Sony Pictures Networks India (SPNI), now known as Culver Max Entertainment, and Bangla Entertainment (BEPL).

Sony Pictures Networks India, the consumer-facing identity of CMEPL, is a wholly-owned subsidiary of Sony Group Corporation, Japan.

Under the terms of the settlement, neither party will have any "outstanding or continuing obligations or liabilities" to the other, as stated in the joint statement.

The settlement results from a mutual decision by the companies to independently pursue future growth opportunities in the evolving media and entertainment landscape, marking the end of all disputes.

Earlier this year, in January, Sony had withdrawn from the proposed £7.8-billion merger with ZEE Entertainment, citing the failure of the Indian firm to meet certain "closing conditions."

The merger between ZEEL and SPNI was initially agreed upon on December 22, 2021. The Mumbai bench of NCLT had approved the scheme of the merger on August 10, 2023, which would have created a £7.6 billion media entity. However, Sony Corporation terminated the agreement on January 22, 2024, two years after the initial announcement.

Following the termination, both companies have pursued independent paths. ZEEL, facing financial challenges, is addressing them through various initiatives and has reported a net profit of £1.07 crore in the first quarter of this fiscal year.

(With inputs from PTI)

More For You

modi-trump-getty
Trump shakes hands with Modi during a joint press conference at Hyderabad House in New Delhi on February 25, 2020. (Photo: Getty Images)

Key issues in India, US trade talks

TRADE talks between India and the US have hit a roadblock over disagreements on duties for auto components, steel and farm goods, Indian government sources said to Reuters, dashing hopes of reaching an interim deal ahead of president Donald Trump's July 9 deadline to impose reciprocal tariffs.

Here are the key issues at play:

Keep ReadingShow less
Anil Agarwal

Vedanta Resources, which is based in the UK and owned by Indian billionaire Anil Agarwal, has been working on reducing its debt. (Photo credit: Getty Images)

Getty Images

Anil Agarwal’s Vedanta Resources signs £438 million refinancing deal

VEDANTA LTD said on Thursday that its parent company, Vedanta Resources, has signed a loan facility agreement worth up to £438 million with international banks to refinance existing debt.

The refinancing move, where old loans are replaced by new ones, often at better terms like lower interest rates, has led ratings agencies such as S&P Global Ratings and Moody's to upgrade their outlook on the company this year.

Keep ReadingShow less
Trump-Getty

Trump said that while deals are being made with some countries, others may face tariffs.

Getty Images

Trump says major trade deal with India may be finalised soon

US PRESIDENT Donald Trump on Friday said a "very big" trade deal could be finalised with India, suggesting significant movement in the ongoing negotiations between the two countries.

“We are having some great deals. We have one coming up, maybe with India. Very big one. Where we're going to open up India," Trump said at the “Big Beautiful Bill” event at the White House.

Keep ReadingShow less
Asda suffers nearly £600m loss as debt and IT costs surge

Asda co-ownerMohsin Issa. (Photo: Asda)

Asda suffers nearly £600m loss as debt and IT costs surge

ASDA, one of Britain’s largest supermarkets, has reported a pre-tax loss of £599 million for 2024, swinging sharply from a £180 million profit the previous year.

The loss comes despite total sales rising by over £1 billion to £26.8bn, as the retailer faces mounting debt costs, falling sales, and spiralling spending on a major IT overhaul, the Telegraph reported.

Keep ReadingShow less
Mounjaro

Mounjaro, or tirzepatide, is part of a new class of weight-loss medications, with trials showing patients losing an average of 20 per cent of their body weight after 72 weeks.

Reuters

Lilly to sell Mounjaro pens in India as Wegovy enters market

ELI LILLY said on Thursday that it has received approval from India's drug regulator to launch pre-filled injector pens of its weight-loss drug, Mounjaro.

The move gives the company more options to compete with Novo Nordisk, which recently launched its weight-loss drug Wegovy in the country.

Keep ReadingShow less