Ever since the dream merger between the two streaming giants being called off, Zee and Sony have been at each other’s throats and the tussle just won’t end. With events taking yet another interesting turn, Zee Entertainment Enterprises (ZEEL) is now suing Culver Max Entertainment (formerly Sony Pictures India).
The company spoke in a stock exchange filing that they are seeking directives from the NCLT (National Company Law Tribunal) to reverse the termination of the merger.
This comes after Sony had moved to the courts, suing Zee for a hefty 90million USD, seeking compensations for the damages caused. ZEEL further added that they will be refuting the entitlement of Culver Max and BEPL to terminate the agreement and will also be contesting the staggering fee of ninety million US Dollars, stating it to be baseless.
According to the reports, Zee had also spent a sum of Rs 367 crore on merger-related expenses along with other major steps like shutting down its profit making businesses in Russia, Germany and Thailand.
It is also to be stated that Zee called upon Culver Max and BEPL to immediately withdraw the termination and further confirm that they will be performing their obligations to give effect to and implement the Merger Scheme, sanctioned by the Hon’ble NCLT. All these developments led to Zee’s stock closing 6.70 per cent higher on the Bombay Stock Exchange at Rs 165.75, Wednesday.
This fallout between two streaming giants and the event of them both suing each-other, especially with Zee now in the picture has the potential of marking the beginning of a long-drawn courtroom battle between the two, setting the stage for the next arc in the merger drama.
