Shares of Essel Group companies -- Zee Entertainment Enterprises (ZEE), Dish TV Network and Zee Media Corporation -- got hammered for the second day in a row, falling by up to 19 per cent on the BSE on Friday, on reports that promoter Subhash Chandra was asked by a court to not sell his unpledged stake in the company till next month.
Among the individual stocks, Dish TV India tanked 19 per cent to Rs 16, hitting an over 10-year low in the early morning deal. It was trading at its lowest level since December 2008 on the BSE.
Meanwhile, ZEE slipped 12 per cent to Rs 272 today, falling 19 per cent in past two trading days on the back of heavy volumes. The stock was quoting at its lowest level since August 2014. Till 10:24 am, a combined 21.6 million equity shares, representing 2.2 per cent of total equity, of the company changed hands on the NSE and BSE.
Investors' sentiment dented after reports suggested that the court order could impact the group’s future monetisation plans in Zee Entertainment.
Further, promoters of mutual funds (MFs) with a debt exposure to Essel Group companies are likely to be given more time to repay about Rs 3,000 crore of dues beyond the September 30 deadline, a Business Standard report said quoting industry sources.
Last week, the promoters had partially settled the dues pertaining to loans against shares through the proceeds of a stake sale in ZEE. A sustained fall in the share price of Zee could impact the equity cover that MFs have on these exposures, the report said. CLICK HERE TO READ FULL REPORT