Zee Entertainment Enterprises Ltd and IndusInd Bank Ltd said on Wednesday that they have settled a dispute over a loan default, paving the way for the media company’s mega merger with Sony.
IndusInd started bankruptcy proceedings against Zee Entertainment late last month over a default of Rs 83 crore.
Zee Entertainment challenged the move in the National Company Law Appellate Tribunal (NCLAT), which put the insolvency proceedings on hold.
“We wish to update that the Company and IndusInd Bank Limited have entered into a settlement agreement by which all disputes and claims have been settled between the Company and IndusInd Bank Limited,” said Zee Entertainment in a stock exchange filing.
IndusInd Bank, on Wednesday, told the NCLAT that it would also withdraw its objection to Zee Entertainment’s merger with Japan’s Sony.
Zee Entertainment’s shares jumped as much as 4% to a nearly one-week high.