Eros promoters pledge 2.75 million additional shares with lenders

Promoters of media company Eros International, who had pledged nearly 48 per cent of their stake to lenders, have now increased their pledging, as the loan-against-shares model increasingly comes into question amid issues faced by peer companies such as Zee Entertainment.

On Wednesday, Eros International disclosed that its promoters had created a fresh pledge on 2.75 million shares between May 3 and 6, taking total promoter stake pledged to nearly 51 per cent.

Zee Entertainment and other firms of Essel Group have seen their stock price remain volatile in recent months over debt repayment woes.

Almost 66 per cent of promoter stake in Zee Entertainment and over 90 per cent in Dish TV are pledged to lenders against loans taken for business purposes.