Zee Entertainment Enterprises to merge with Sony Pictures Networks India!
LetsOTT Editorial Team -
This is a development no one saw coming. In an extraordinary meeting held on Tuesday night, the board of Zee Entertainment Enterprises, that runs the Zee network of channels in addition to ZEE5, signed a term sheet merging their company with Sony Pictures Networks India, which also owns SonyLIV, as per a report in The Economic Times.
Under the terms of this agreement, Sony will hold a 52.93% stake in the merged company, while the rest will be held by shareholders of Zee. The completion of this deal will see the Sony-Zee entity become India's largest broadcaster in terms of revenue, beating Star India. This entity will have 75 television channels, two OTT platforms (ZEE5 and SonyLIV), two film studios (Zee Studios and Sony Pictures India), and a digital content studio in SPN Studio NXT, which co-produced Scam 1992 last year.
It is being assumed that there will be a rationalization of resources. However, what happens to ZEE5 and SonyLIV post the merger is not known yet. Stay tuned for more updates.