Sony India and Zee Entertainment have merged into creating the second largest entertainment network in the county. This merged entity will be headed by Punit Goenka.
Although Sony Group will select a majority of the board members of the new merged company. Sony group will be leading the merged company. Zee entertainment has agreed to own less than 20% of the shares and will have no rights to acquire the merged company. Punit Goenka will be the CEO and the managing director of the mew merged company. Other posts within the company will be nominated mainly by the Sony Group. The current CEO of Sony Pictures Network (SPN), NP Singh will also secure a position in the new merged entity.
The merger was announced on September 22. Sony group will own 50.86 of the merged company while the Essel Group, the promoter, will own 3.99% of the company stake. The public share will be 45.15%. According to the terms and conditions, SPE Mauritius Investments Limited will pay Essel an amount of over ₹1000 crores.