Zee Entertainment Enterprises Ltd on Wednesday moved the National Company Law Appellate Tribunal (NCLAT) against the demand of minority shareholders Invesco and OFI Global China Fund to convene an Extraordinary General Meeting (EGM) to discuss various issues, including the removal of Managing Director Puneet Goenka. Knocked on the door.
The media major has challenged the Mumbai-bench orders of the National Company Law Tribunal, which on Tuesday directed Zee Entertainment Enterprises Ltd (ZEL) to file a reply by October 7 (Thursday) on a petition filed by its minority shareholders. date of hearing. Confirming the development, a ZEEL spokesperson said: “The company has transferred the NCLAT as per due process available under the law.” Last week, ZEEL had informed that it had moved the Bombay High Court against the demand of minority shareholders.
“The company has filed a suit in the Bombay High Court to declare that the demand notice sent by Invesco Developing Markets Fund and OFI Global China Fund LLC is invalid,” he said.
The spokesperson said that the company has full faith in the Indian judicial system and will take all necessary steps in the interest of all its shareholders.
OFI Global China Fund LLC along with Invesco Developing Markets Fund (formerly Invesco Oppenheimer Developing Markets Fund) holds 17.88 percent stake in ZEEL.
Last week, the company’s board rejected the demand of minority shareholders and termed the demand as “invalid and illegal”.
“In its meeting held on October 1, 2021, the Board has concluded that the demand is invalid and illegal; and has accordingly expressed its inability to convene the Extraordinary General Meeting to Invesco Developing Markets Funds and OFI Global China Fund, LLC.” Ziel said.
The meeting was convened after the NCLT directed Zeel to hold a board meeting to consider the request of Invesco and OFI Global China Fund to convene an EGM to discuss various issues.
On Tuesday, the NCLT had said that the matter of dispute is simple – whether the demand for Extraordinary General Meeting (EGM) is valid or not and it cannot give ‘weeks and weeks’ time to Zee Entertainment Enterprises to file its reply. . .
Posting the matter for next hearing on Thursday, the NCLT had said, “The order cannot be passed with an opportunity of filing counter… and we are of the view that minimum opportunity time should be given.”
US-based Invesco and OFI Global China Fund filed a petition seeking reconstitution of the board with the convening of the EGM, removal of the company’s chief executive and managing director Puneet Goenka as well as two other directors and the appointment of six new directors. Had it.
Earlier this month, two investment firms had called an EGM, demanding the removal of Puneet Goenka as well as two other independent directors – Manish Chokhani and Ashok Kurian. Chokhani and Kurien have already resigned.
Invesco has also sought the appointment of six of its nominees – Surendra Singh Sirohi, Naina Krishna Murthy, Rohan Dhamija, Aruna Sharma, Srinivas Rao Adepally and Gaurav Mehta – on the company’s board of directors.
Goenka is the son of founder and chairman of Essel Group, Subhash Chandra.
On 22 September, ZEEL and Sony Pictures Networks India (SPNI) announced their merger, which would create the country’s largest media company.
The merged entity, in which SPNI’s parent company Sony Pictures Entertainment will invest $1.575 billion, will be a publicly listed company in India.
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