Zee Board Approves Raising Rs 2,000 Cr

The Zee board has approved a fundraising of up to Rs 2,000 crore via equity shares or other eligible securities.

"The Board of Directors at its meeting held today considered and given its in-principle approval for raising funds by way of issuance of equity shares or any other eligible securities provided that the aggregate amount shall not exceed Rs 2,000 crore," the company said in a filing.

This comes after the company lost two significant deals this year- a $1.4 billion agreement with Walt Disney to broadcast cricket, and a $10 billion merger with Sony India. Since then, several cost-cutting and loss-reducing initiatives have been undertaken by the Indian broadcaster, including the layoff of 15 per cent of its staff.

The company stated that it will "enhance its strategic flexibility to pursue future growth opportunities in the evolving media landscape" with the use of the money, according to media reports. The company intends to use a combination of private placements, qualifying institution placements and preferential issues to raise the necessary capital for equity shares or any other eligible instruments.