In yet another twist to the battle between Invesco Developing Markets Fund and OFI Global China Fund LLC and Zee Entertainment Enterprises Ltd's existing management, the ZEEL Board has rejected the overseas shareholders demand to convene the Extraordinary General Meeting terming their requisition invalid and illegal.
Invesco and OFI Global had called for an EGM to oust the existing board members, who they felt had lost the confidence of shareholders and also wanted to bring in their own nominees as directors on the board. The two shareholders, who account for about 18 per cent in ZEEL, have also got directions from NCLT on their requisition for EGM on Thursday.
"This has reference to the requisition notice received by the Board of Zee Entertainment Enterprises Ltd., from Invesco Developing Markets Funds and OFI Global China Fund, LLC. The Board, comprising experienced professionals deliberated and discussed various legal and statutory implications of the requisition notice," ZEEL said in a statement.
"The Board sought the opinions of independent counsel, legal experts including senior retired Supreme Court judges and evaluated the matter in a fair and transparent manner. In its meeting held on 1st October, 2021, the Board has arrived at a conclusion that the requisition is invalid and illegal; and has accordingly conveyed its inability to convene the Extraordinary General Meeting to Invesco Developing Markets Funds and OFI Global China Fund, LLC," the statement added.
The Company cannot comment on any future actions since the matter is sub judice, it said.
