Axis Finance, IDBI Bank and IDBI Trusteeship Services have withdrawn their petitions before the National Company Law Appellate Tribunal (NCLAT). The petitions were filed against the NCLT order approving the merger of Zee Entertainment with Sony Pictures Networks India.
The NCLAT has allowed the petitions’ withdrawal noting that the NCLT had already recalled its earlier order of August 10, 2023, approving the merger of Zee Entertainment with Sony Pictures Networks India.
Earlier in September 2024, Zee Entertainment Enterprises Ltd. (ZEEL) officially withdrew its composite scheme of arrangement with Culver Max Entertainment and Bangla Entertainment Private Limited (BEPL), following a settlement. The National Company Law Tribunal (NCLT) approved the withdrawal. The decision follows a settlement between the parties involved.
The NCLT passed an order inter alia allowing the withdrawal of the Scheme and recall the sanctioned order dated August 10, 2023 passed by the NCLT in respect of the Scheme.
In August 2024, Zee and Sony announced that they have arrived at a comprehensive non-cash settlement, amicably resolving all disputes related to the Merger Co-operation Agreement and the Composite Scheme of Arrangement.
In its filing with stock exchanges, ZEEL explained that the merger, initially sanctioned in August 2023, has now been terminated due to mutual consent.
As part of the settlement, the companies have mutually agreed to withdraw all respective claims against each other, in the ongoing arbitration at the Singapore International Arbitration Centre, and all related legal proceedings initiated in the NCLT and other forums.
The NCLT, Mumbai, approved the recall of the merger order on 5th September 2024, allowing Zee to withdraw the scheme.
Read more: ZEE and Sony resolve all disputes over failed merger