ZEE says SEBI order won't impact ₹3,140cr fundraising plan
What's the story
Zee Entertainment Enterprises Ltd (ZEEL) has asserted that the recent order from the Securities and Exchange Board of India (SEBI) will not affect its ongoing ₹3,143 crore fundraising exercise. The company said it is seeking legal advice on the matter but remains confident about completing the process. "The Company firmly believes that the order from SEBI has no direct bearing on the fundraising exercise," a ZEEL spokesperson said.
Company statement
Seeking legal advice on SEBI order: ZEEL
In its official statement, ZEEL said it has received the SEBI order and is seeking legal advice.
The company also clarified that after receiving regulatory approvals from stock exchanges and shareholders at the Extraordinary General Meeting on July 31, 2026, it will take all necessary steps to complete the fundraising exercise.
This effort is aimed at strengthening its financial foundation while creating value for stakeholders.
Legal measures
Will take necessary legal measures to protect stakeholders' interests
Along with its fundraising plans, ZEEL also addressed the allegations mentioned in the SEBI order.
The company said it will take all necessary legal measures as per law to protect all stakeholders' interests.
This comes after shareholders approved a preferential warrant issue worth ₹3,143.5 crore through allotment of 24.95 crore warrants at ₹126 each.
If implemented, this resolution would increase the promoter group's stake in ZEEL to 23.8%.
Regulatory action
Details of SEBI's action against ZEEL and its promoters
SEBI's final order bars ZEEL from the securities market for two months, while promoters Punit Goenka and Subhash Chandra have been barred for 12 months each.
The regulator has also levied penalties of ₹30 lakh on ZEEL, ₹58 lakh on Goenka, and ₹60 lakh on Chandra.
The action relates to allegations that a Hyderabad property owned by ZEEL was used as collateral for loans worth ₹726 crore taken by four Essel Group entities without Board or Audit Committee approval.