Sony Group Corp. announced Monday that two years of merger discussions with India’s Zee Entertainment Enterprises Ltd are over.
Sony Pictures Network India Private Ltd., now known as Culver Max Entertainment Ltd. and a wholly-owned subsidiary of Sony
SONY,
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announced plans for a potential $10 billion deal with the Indian entertainment giant
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in 2021.
According to Bloomberg and the FT, the tie up was scrapped over disagreements about who would preside over the merger, and worries about the performance of Zee, which has seen revenue fall amid a weak ad market and higher costs of streaming.
The two sides had spent the weekend in talks trying to save the deal, said the FT, which also reported Zee has also threatened “appropriate legal action” against Sony. MarketWatch has reached out to Zee for comment.
Sony shares rose 1% in premarket trading. Zee shares did not trade as India’s markets were closed for the Ram Mandir inauguration in Ayodhya, Uttar Pradesh.
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