Multi-faceted business conglomerate Essel Group, has said that its lenders have unanimously agreed to extend the earlier timeline. This move will enable the group to optimise the value output from the sale of its assets.
"The lenders have extended complete support to the group and its promoters, recognising the intrinsic value of the assets and the overall asset divestment process undertaken. The group remains confident on further divestments including its non-media assets," it said in a media statement.
As per the official communication issued on September 20, 2019, the group was in a steady and progressive dialogue with all lenders. The mentioned extension of the timeline was requested purely in the interest of deriving the right value of the group's precious assets.
Earlier this month, Essel Group promoters announced the successful completion of the first tranche of the transaction comprising the sale of 8.7% stake in ZEE Entertainment Enterprises Limited (ZEEL) to Invesco Oppenheimer Developing Markets Fund. In July, the group had entered into an agreement to sell up to 11% promoter stake in ZEEL to Oppenheimer.
In a challenging business environment, where other companies are defaulting on payments to lenders, Essel Group has been able to initiate meaningful discussions and negotiate with potential financial investors to raise funds from the market. With asset sale deal closures in the past few months, the group has ensured timely repayments to the market while continuing to grow its businesses.
ON TRACK
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The Essel Group has been in a steady and progressive dialogue with all the lenders
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Earlier this month, the group completed 8.7% stake sale with Invesco Oppenheimer
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In July, the group agreed to sell up to 11% promoter stake in ZEEL to Oppenheimer
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| With asset sale deal closures in the recent past, Essel has ensured timely repayments to the market |
The Essel Group has a diverse business presence across media and entertainment, real estate, infrastructure, education, finance, precious metals, technology and tourism sectors. It has not only built and expanded new businesses but has also built a formidable and exemplary position across these businesses in a short span. The group has now grown to become a strong diversified entity in India and across the globe with presence in 173 countries.
