Zee crashes 10 per cent as lenders offload pledged shares

Shares of Zee Entertainment Enterprises fell sharply on Monday to hit the lowest levels in over five years on reports that some lenders had sold a part of the company’s pledged shares in the open market. According to market sources, Kotak Mutual Fund and one other large fund house have sold shares of Zee Entertainment (ZEEL) that were pledged by the Essel Group.

An Essel Group spokesperson said: “The Essel Group confirms that the lenders who had not agreed to grant the extension have exited by selling the pledged shares of ZEEL. The other lenders who value the assets, have in-principally agreed to grant more time.”