The shares of Zee Entertainment Enterprises Ltd's surge 2 per cent on Wednesday after the company announced that its board approved a merger with Sony Pictures Networks India Pvt Ltd (SPNI).
The share was trading at Rs 353.75 on BSE at 9:17 AM on Wednesday.
In a joint statement, the two companies said they have "signed definitive agreements to merge ZEEL with and into SPNI and combine their linear networks, digital assets, production operations and program libraries".
The agreements follow the conclusion of an exclusive negotiation period during which ZEEL and SPNI conducted mutual due diligence, it added.
Under the agreement, Sony Pictures will have a cash balance of $1.5 billion, including through infusion by the current shareholders of Sony and the promoters of ZEEL.
When the merger deal was announced in September, the two networks had stated that Sony would invest $1.575 billion and hold 52.93 per cent stake in the merged entity and Zee the remaining 47.07 per cent.
In the meantime, check what analysts/brokerage houses had said about the share price target of Zee Entertainment.
The brokerage house has given a buy call to Zee Entertainment with a target price of Rs 405. The time given by the analyst is Intra Day when Zee Entertainment's price can reach a defined target, a report published in The Economic Times on 21 December 2021 said.
The brokerage house has given a buy call on Zee Ent with a target price of Rs 389. The period given by the analyst is one year when Zee Ent price can reach a defined target, according to a report published in The Economic Times on 18 November 2021.
The brokerage house has given a buy call on Zee Entertainment Enterprises with a target price of Rs 415. The period given by the analyst is one year when Zee Entertainment Enterprises' price can reach a defined target, a report published in The Economic Times said on 12 November 2021.