Media and entertainment giant Zee Entertainment Enterprises Limited’s (ZEEL) board has cleared
merger deal with Sony Pictures Networks India (SPNI). SPNI will have cash balance of USD $1.5 billion at closing, this includes infusion by the current shareholders of SPNI and the promoters (founders) of ZEEL.

Shardul Amarchand Mangaldas advised Sony Pictures on this transaction. The team was led by Partners Gunjan Shah, Karun Prakash and Shruti Kinra. Partners Aparna Mehra and Rohan Arora advised
on competition law aspect. Other partners involved on this include Anuj Berry, Alina Arora, Pooja Ramchandani, Anirudh Das, Amit Singhania, Shahana Chatterji, Dev Robinson, J.V. Abhay and Yogesh Chande.

Sony Pictures will pay a non-compete fee to some fo unders of ZEEL which will be used to infuse primary equity capital into SPNI for acquiring shares of Sony. This would be approximately 2.11% of the share of the combined company on a post-closing basis. Sony Pictures after the closing of the deal will indirectly hold a majority 50.86% of the combined company; the founder of ZEEL will hold 3.99% and other ZEEL shareholders will hold a 45.15% stake.