Correction at 11.45 am on June 18: This report earlier carried a logo which belonged to Zee Media Corporation Limited (ZMCL) instead of Zee Entertainment Enterprises. ZMCL is not involved in the transaction between Zee Entertainment Enterprises Limited and Sony Pictures Networks India. The error is regretted.
The National Company Law Tribunal has issued a notice to Sony Pictures Networks over an application by Zee Entertainment Enterprises seeking the implementation of the $10 billion merger between the two companies which was called off last month, Bar and Bench reported.
The tribunal has reportedly directed Sony to respond within two weeks and posted the matter for hearing on March 12.
The Sony group, or Culver Max Entertainment Pvt Ltd, had earlier expressed disappointment after the Singapore International Arbitration Centre denied its petition to restrain Zee Entertainment Enterprises Ltd from approaching NCLT to enforce the merger.
Announcing the withdrawal of the merger, Sony had earlier sought USD 90 million as termination fee from Zee for breach of conditions and initiated arbitration.
Zee then initiated legal action to contest Sony’s claims. The National Company Law Tribunal had accepted a petition by a Zee Entertainment shareholder seeking the merger of its Indian entity with Sony.
“We are disappointed in the decision by the Singapore International Arbitration Centre (SIAC). This decision is only a procedural one, ruling only as to whether Zee Entertainment would be permitted to pursue its application with the NCLT,” Sony said in a statement on Monday, according to Exchange4media.
“We will continue to vigorously arbitrate the matter in Singapore in front of a full SIAC tribunal and pursue SPNI’s right to terminate the merger agreement and seek a termination fee and other remedies. We remain confident in the merits of our position in both Singapore and India,” it said.
This report was published with AI assistance.
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