Zee Entertainment scraped-off the atmospheric rumours which adopted after Bloomberg’s story that the Sony Group is making ready to terminate its settlement with the agency due to an impending disagreement over Punit Goenka, the corporate’s CEO, main the merged entity firm.

However, the report already affected Zee Entertainment shares, which suffered an preliminary downhill of virtually 10 per cent. The agency’s assertion tried to mitigate the shares’ loss by just a few per cent.

The shares traded at Rs 258.70 with a 7 per cent loss within the afternoon session on the National Stock Exchange.

“We would like to clarify that the above-mentioned article is baseless and factually incorrect. We wish to reiterate that the company is committed to the merger with Sony and is continuing to work towards the successful closure of the proposed merger,” mentioned Zee Entertainment in an trade submitting.

The monumental merger between two media firms value USD 10 billion has been in limbo for some time since neither get together got here to a closing settlement, regardless of the one-month grace interval to run out on 21 January.

Punit Goenka was prohibited by SEBI from holding managerial positions in Zee Entertainment or any of the corporations concerned in a fund-diversion case. Sony had reservations about this, and the events have but to achieve an settlement over his management of the merged firm.