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Zee Tele to merge 4 subsidiaries

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MUMBAI: Zee Telefilms has decided to merge Kaveri Entertainment, Programme Asia Trading Company, El Zee Television and Dakshin Media with itself.

The decision comes after an announcement made by Zee executives following a meeting they had in February this year. The officials claim that simplification of the complex structure and elimination of inefficiencies due to changes in the regulatory and tax framework, are the main causes of the amalgamation, says a report in Business Standard.

Programme Asia Trading Company, El Zee television and Dakshin Media, had collectively reported losses to the tune of Rs 44.2 million on a gross income of Rs 140 million during 2000-01, says report. It further states that Kaveri Entertainment had ventured into Kannada television media during the same fiscal by acquiring the assets of Chennai based Asianet Media for Rs 120.1 million.

The company has scheduled an extraordinary AGM on 25 October 2002, to seek approval for the merger, which it asserts is part of restructuring aimed at reducing the number of subsidiaries from 23 to 12. ETC Networks and Padmalaya Telefilms were acquired by Zee over the past few months.

Also, Zee Telefilms Ltd has fixed the book closure for the payment of dividend from 24 October, 2002 to 25 October, 2002 (both days inclusive) for the purpose of payment of dividend. Earlier the company had fixed 23 October 23 to 24 October (both days inclusive) as book closure date for payment of dividend.

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