Nilesh Shah of Kotak Mahindra Asset Management Company said that Essel group is debt-laden in seven of the eight fixed maturity plans, the controlling shareholders of the Zee Group of companies-in their portfolio, the asset manager is returning more than the amount they had collected along with some appreciation.
Nilesh Shah said, “it’s only in one FMP which has matured today where I am returning about 0.6 percent less.”
“It is only a matter of time until the unit holders receive their money on the maturity of the FMPs,” Shah added. “If they can afford a little bit of time or delay, we are quite hopeful they will recover all their dues.”
“As we work with the promoters of Essel group, where we have taken their personal guarantee and have an upside sharing if there is a strategic sale in Zee, a combination of this will ensure that you (investors) will get back your money by Sept. 30 along with accrued interest and appreciation,” said he.
On Jan. 25, there was a sale of about Rs 200 crore worth of Zee Entertainment shares by certain lenders. This resulted in prices dropping from Rs 400 to Rs 280 apiece. However, on the weighted average price, it was about Rs 319 apiece.