Subhash Chandra to sell 16.5% stake in Zee, become minority shareholder

Will sell 16.5% stake and retain 5.9%; promoters to retain management control

The Subhash Chandra-led Essel Group will sell 16.5 per cent of its 22.37 per cent promoter stake in flagship firm Zee Entertainment (Zee), becoming a minority shareholder. However, the promoters will retain management control of Zee, the group said on Wednesday.

Zee kickstarted the cable and satellite revolution in the country and has been a leading Indian broadcaster for three decades. 

The debt-ridden group on Wednesday said the share sale was being done to repay promoters’ loan obligations to “certain lenders”. Of the 22.37 per cent promoter stake in Zee, 96 per cent is pledged to lenders. The loan amount