Zee Entertainment Shares Drop Over 3%

New Delhi, Jul 11 (PTI) Shares of Zee Entertainment Enterprises Ltd ended over 3 per cent lower on Friday after shareholders of the firm rejected a proposal to raise Rs 2,237.44 crore from promoter group entities, which would have led to an increase in promoter shareholding to 18.4 per cent.

The stock declined 2.82 per cent to settle at Rs 137.90 apiece on the BSE. During the day, it dropped 6.23 per cent to Rs 133.05.

On the NSE, it dipped 3.19 per cent to Rs 137.36 a share.

The special resolution to issue fully convertible warrants to the promoter group on a preferential basis received only 59.514 per cent of the votes in favour, while 40.48 per cent were against the proposal, according to the filing by Zee Entertainment Enterprises Ltd (ZEEL) on Thursday evening. Being a special resolution, it needed 75 per cent shareholder approval.

The company's scrutiniser, in its report, said, "as the number of votes cast in favour of the resolution was not more than three times the number of votes cast against, the special resolution has not been passed with requisite majority".

Last month, ZEEL said it planned to raise Rs 2,237.44 crore from promoter group entities, which will lead to an increase in promoter shareholding to 18.4 per cent.