Zee promoters plan to raise stake amid stock slump, says Punit Goenka

Zee Entertainment's promoters have signalled that they are keen to increase their stake in the company but no final decision has been made on the route or timing. They also stressed that any structured transaction would require shareholder approval.

The comments came during Zee Entertainment's second-quarter earnings call, where investors asked about the promoters' plans following the recent fall in the company's share price. CEO Punit Goenka, who is also part of the promoter family, said the intention to raise the stake remains strong, though discussions are ongoing on how best to proceed.

"We are very keen to increase our stake in the organisation in whichever structured manner we can find most suitable," Goenka said. "Of course, if it's a structured transaction, it will have to be approved by the shareholders-without that, we cannot go ahead."


Open-market purchases have not yet been considered, he said, adding, "As a family and as promoters, we are debating this on a daily basis to figure out what the best way forward for us is going to be."

Responding to a question on whether a market purchase could boost investor confidence after the stock's decline, Goenka said he was constrained from elaborating further. "I don't think I should speak much more on this because, being both a CEO and a promoter, I'm kind of conflicted there. But the intention is to increase," he said.