The National Company Law Tribunal (NCLT) adjourned the hearing of the shareholder activism dispute between Zee Entertainment and Invesco to December 14. The Mumbai bench of the NCLT stated that the matter is already scheduled for hearing at the Bombay High Court and the National Company Law Appellate Tribunal.
"In view of the appeals filed at the Bombay High Court and the National Company Law Appellate Tribunal (NCLAT), this matter is adjourned to December 14 for further consideration," the bench stated.
The Bombay High Court would be hearing the dispute on November 29 and the NCLAT on December 6.
Institutional investor Invesco along with OFI Global Fund China collectively hold 17.88 per cent stake in the media conglomerate. It has been seeking the ouster of managing director Punit Goenka along with revamping the company's board to address corporate governance issues.
In October, Zee Entertainment's managing director Punit Goenka in a letter to shareholders stated that Invesco had approached the company with a merger proposal on behalf of Reliance. In the letter, Goenka did not name Reliance. He said that the merger proposal would have led to a loss of Rs 10,000 crore for Zee shareholders.
Invesco in its reply to the accusation stated that as Zee's single largest shareholder, its role was restricted to help facilitate the potential transaction and nothing more.
Reliance Industries clarified in a press statement, "We regret our being drawn into the dispute between Zee and Invesco. The reports in the media are not accurate."
It added that Invesco had assisted Reliance in arranging discussions between the company and Zee Entertainment MD and CEO Punit Goenka between February and March this year.
On October 2, Zee Entertainment moved the Bombay High Court on Saturday seeking its shareholders Invesco Developing Markets Fund and OFI Global China Fund LLC's demand for an extraordinary general meeting be declared illegal and invalid. The development followed Zee Entertainment rejecting the investors' demand to convene the extraordinary general meeting.