Zee Media fixes rights issue price at Rs 18 per share

Zee Media Corporation today fixed price at Rs 18 per share for its proposed rights issue to raise nearly Rs 200 crore.
The board of directors of the company at its meeting held on today approved issue price of Rs 18 per share, including premium of Rs 17 per share, Zee Media Corporation said in a filing to the BSE.
The rights entitlement ratio has been fixed at three fully paid equity shares of Re 1 each for every ten fully paid equity shares of Re 1 each held as on the record date, it added.
As per the programme, the company will offer up to 10,86,43,732 equity shares through the issue.

The company said the out of the full amount of Rs 18 payable on application, Re 1 would be towards share capital and Rs 17 towards the securities premium account.
In January, the company had sought capital market regulator Sebi's approval for the rights issue to existing investors as per their holding at a pre-determined price and ratio.

The funds raised from the issue would be utilised towards purchase of equipment and accessories for production and broadcasting, repayment of certain loans availed by the company, funding subsidiaries for repayment of loans and other general corporate purposes.
Zee Media Corporation Ltd (ZMCL), formerly known as Zee News Ltd, broadcasts 10 news channels, including two national ones - Zee News and Zee Business.

Its regional news channels are Zee 24 Taas, 24 Ghanta, Zee Sangam, Zee Madhya Pradesh Chhattisgarh, Zee Purvaiya, Zee Marudhara, Zee Punjab Haryana Himachal and Zee Kalinga.
Axis Capital Ltd is the lead manager of the issue.