NEW DELHI: US-based investment firm Invesco has decided to pare down its stake in Zee entertainment by up to 7.8% after it announced a share sale plan on Wednesday. The investment firm in a statement said that three funds managed by Invesco’s Developing Markets investment team, including Invesco Developing Markets Fund, will sell up to 7.8% of the share capital of Zee Entertainment.
According to the Invesco statement, the purpose of this transaction is to align these funds’ exposures to Zee with other funds managed by the investment team and to achieve an aggregate ownership position in the company that is more in line with the investment team’s portfolio construction approach.
The fund said that upon completion of the sale of shares, funds managed by Invesco’s Developing Markets investment team, including Invesco Developing Markets Fund, will continue to own in aggregate at least 11% of Zee, underscoring the investment team’s belief that the Sony deal in its current form has great potential for Zee shareholders.
Invesco which holds 18% stake in Zee was in a protracted legal battle over the composition of the board of Zee Entertainment. Invesco also had reservations against the Zee-Sony deal.