By Aditya Raghunath
Investing.com — Shares of Zee Entertainment Enterprises Ltd. (NS:) have surged 30% as of this report and are trading at Rs 242.9 after its largest shareholders called for an extraordinary general meeting to remove top management of the company.
The executives whom the EGM seeks to remove are Managing Director and CEO Puneet Goenka, and Manish Chokhani, and Ashok Kurien who are Directors in the company.
This EGM was initiated by the company’s largest shareholders, Invesco Developing Markets Fund and OFI Global China Fund LLC, which together hold 17.88% of the total paid-up share capital of the company. The company said in a regulatory filing on September 13 that the two funds had sent a letter asking for the EGM on September 11.
The shareholders said, “We understand that the Company is required to seek approval from the Ministry of Information and Broadcasting (“MIB”) in connection with the appointment of the Proposed Independent Directors. Accordingly, we request that the Company submit an application with the MIS seeking approval for the appointment of the Proposed Independent Directors at the earliest.”
Prior to today, Zee stock had lost 16.3%. It closed at Rs 223.5 on December 31 and closed at Rs 186.85 on September 13.