In response to Zee Entertainment’s request for extending the deadline for the merger deal, Sony Pictures Networks India (SPNI) has issued a statement stating that it is looking forward to hearing ZEE’s proposals and how they plan to complete the remaining critical closing conditions. However SPNI has not agreed for a deadline while acknowledging the fact that the notice from ZEE dated December 17 2023 triggers the contractual provision that allows both the possibilities of extending the deadline.
The statement from SPNI said, “ZEE’s notice to the Bombay Stock Exchange and the National Stock Exchange of India dated December 17 is an acknowledgement that they will not be able to meet the December 21, 2023 deadline to close the SPNI/ZEE merger. The notice triggers an existing contractual provision in the deal that allows for both parties to discuss the possibility of extending the deadline. SPNI is required to start those conversations but has not yet agreed to a deadline extension. We look forward to hearing ZEE’s proposals and how they plan to complete the remaining critical closing conditions.”
As per the merger agreement signed in December 2021, the deadline was December 21, 2023. ZEEL has been unable to meet the same owing to various hurdles posted by its creditors. SPNI’s response is crucial for the future of the deal as the merger is unlikely to get completed within the original deadline.
