RIL Expresses Regret On Being Dragged Into ZEE-Invesco Dispute

In an official assertion, Reliance Industries Ltd (RIL) has expressed its remorse in being drawn into the ZEE-Invesco fiasco. In the identical, RIL claims to have proposed a merger of all its media properties with Zee at truthful valuations throughout discussions in February and March 2021. “Invesco assisted Reliance in arranging discussions directly between our representatives and Punit Goenka, member of the founder family and Managing Director of Zee.”

This proposal sought to harness the strengths of all of the merging entities and would have helped to create substantial worth for all, together with the shareholders of Zee.

Reliance additionally mentions continuance with the prevailing administration of the investee firms and reward them for his or her efficiency. “Accordingly, the proposal included the continuation of Goenka as Managing Director and the issue of ESOPs to management, including Goenka,” it clarifies. 

However, variations arose between Goenka and Invesco with respect to a requirement of the founding household for growing their stake by subscribing to preferential warrants. “The investors seemed to be of the view that the founders could always increase their stake through market purchases.”

RIL didn’t intend to push any hostile transactions and therefore, didn’t proceed additional.

Leave a Reply

Your email address will not be published. Required fields are marked *