Shares of Zee Entertainment Enterprises (ZEEL) rose 8% to Rs 204.25 on the BSE in intraday commerce on Thursday after the corporate agreed to pay dues to IndusInd Bank. In addition, lenders might have determined to withdraw the chapter case.

Bloomberg reported: “ZEEL has agreed to repay dues owed to IndusInd Bank as the company seeks to resolve bankruptcy proceedings against it and nears completion of a merger with a unit of the Sony Group to create a $10 billion media giant.”

Settlement of dues of about Rs 83.7 crore ($10 million) to lenders may happen as early as Friday, with the Mumbai-based financial institution agreeing to withdraw chapter proceedings towards the media firm after the repayments, the information company reported.

Last month, on February 24, the National Company Law Appellate Tribunal (NCLAT) determined to remain the execution of the National Company Law Tribunal’s (NCLT) order recognising chapter proceedings towards ZEEL. The case might be heard on March 29.

ZEEL’s sister firm, Siti Networks, secured a mortgage from IndusInd Bank with ZEEL because the guarantor. Since Siti Networks couldn’t pay, IndusInd Bank invoked the assure and made ZEEL a celebration. The quantity into account is Rs 83.1 crore.

ZEEL is one in all India’s largest listed media corporations, proudly owning and working 49 TV channels in 11 languages ​​and the OTT app Zee5.

ZEEL has underperformed the market prior to now three months, falling 19% as issues over ongoing arbitration points delaying the timetable for its merger with Sony Pictures Networks India Private Limited (SPNI) weighed on sentiment. In comparability, the S&P BSE Sensex has misplaced 6% over the interval. Another motive for the inventory’s underperformance is promoter debt points and enterprise challenges.