ZEE asserted that Culver Max and BEPL were in default of their obligations to give effect to and implement the Scheme, sanctioned by the Hon’ble National Company Law Tribunal.
Culver Max Entertainment, formerly known as Sony Pictures Networks India (SPNI), has terminated merger agreements with Zee Entertainment, which could have otherwise created a USD 10 billion media enterprise in the country. Zee's stock touched its lower price band on both BSE and NSE as the bourses revised lower circuit limit for the company on Tuesday.
ZEE said it is in receipt of a communication from CMEPL and BEPL that they will enter into good faith negotiations with a view to discuss the extension of the date required to make the merger scheme effective by a reasonable period of time.
"The notice (from Zee) triggers an existing contractual provision in the deal that allows for both parties to discuss the possibility of extending the deadline," said SPNI.