Zee Entertainment to buy back shares worth up to Rs 600 crore

Mumbai: Zee Entertainment Enterprises's board approved a buyback of up to 65.9 million shares, representing 6.86% of the company's paid-up equity share capital, at ₹91 each, aggregating up to ₹600 crore, the company said in a regulatory filing on Thursday. The company announced the buyback with a view to enhancing shareholder returns and strengthening investor confidence. Its shares closed at ₹73.50 on the BSE Thursday, down 38% from their 52-week high of ₹118.40 recorded on June 23.

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Chairman R Gopalan said the board believed the company's intrinsic value was not appropriately reflected in its current market valuation. The Zee board fixed November 25 as the record date to determine the entitlement and identify shareholders eligible to participate in the buyback. The company will implement the buyback through the tender offer route on a proportionate basis, it said.


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