Zee <a href="https://comicvibe.com/zee-entertainment-shares-crash-14-today-fall-17-in-4-days-whats-behind-the-sharp-decline/” title=”Zee Entertainment Shares Crash 14% Today, Fall 17% In 4 Days; What's Behind The Sharp Decline?”>Entertainment Enterprises dropped 9.60% to Rs 91.80 on Monday, extending its decline for the fourth consecutive session.
The stock is down 12.40% in four sessions. The stock came under pressure after reports said three lenders plan to challenge the approval of Essel Group founder Subhash Chandra’s repayment plan.
According to reports, Canara Bank, Union Bank of India and LIC Housing Finance will approach the National Company Law Appellate Tribunal (NCLAT) against the National Company Law Tribunal’s (NCLT) order approving the plan.
The NCLT approved the repayment plan on 25 August 2026 despite objections from several financial creditors. Under the plan, Rs 6.25 crore will be paid to creditors, while another Rs 25 lakh has been earmarked for insolvency-process costs.
The plan was approved against admitted claims of about Rs 22,006.57 crore. These claims largely relate to personal guarantees provided by Chandra for borrowings by companies linked to the Essel Group.
Reports said the lenders have raised concerns over the low recovery under the plan. HDFC Bank, which also opposed the plan, is considering challenging the NCLT order, according to reports.
Dissenting creditors have also questioned the voting process. They have alleged that entities linked to Chandra’s family held a significant portion of the voting share.
The development adds to the overhang surrounding Zee Entertainment. The company is also facing regulatory proceedings involving Chandra and managing director and CEO Punit Goenka, along with uncertainty surrounding its promoter-group warrant issue.
Zee Entertainment recently obtained a one-working-day extension from the Securities Appellate Tribunal (SAT) to complete the subscription of 2.41 crore preferential warrants by promoter-group entity Sunbright Mauritius Investments. The extension was granted after Rs 75.79 crore of subscription money was deposited on time but credited to Zee’s account a day later. SAT termed the delay technical. Zee subsequently allotted the warrants to Sunbright Mauritius at Rs 126 each.
The stock is also facing renewed attention following a public dispute between Essel Group chairman Subhash Chandra and Reliance Industries over media coverage of Chandra’s insolvency proceedings.
According to reports, Chandra accused Reliance-linked media outlets, including TV18 and CNBC, of presenting a misleading narrative about his debt and the NCLT proceedings. He also revived allegations relating to Zee’s share price and the attempted acquisition involving Invesco in 2019.
Reliance Group rejected the allegations on 28 August 2026, describing them as baseless. The group said its media brands had never been used to attack anyone and would not be used for such purposes. Reliance also said it holds Chandra in high regard as a businessman and entrepreneur and wished him well.
Zee Entertainment Enterprises is a content and technology company with a presence in more than 190 countries and a global reach of over 1.4 billion people. The company operates across television, digital platforms, movies, music and live entertainment, offering content in multiple languages.
On a consolidated basis, Zee Entertainment Enterprises’ net profit declined 48.30% to Rs 74.30 crore while net sales rose 4.52% to Rs 1907.30 crore in Q1 June 2026 over Q1 June 2025.
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First Published: Aug 31 2026 | 11:50 AMIST
