India's Zee Entertainment Enterprises said on Friday that its board has denied requests from its top shareholders to convene an extraordinary general meeting (EGM).
"The Board has arrived at this decision by referring to various non-compliances under multiple laws... and after taking into account the interests of all the shareholders and stakeholders of the Company," Zee said in a regulatory filing, referring to guidelines set by India's capital markets regulator and the federal broadcasting ministry as well as the companies law.
The board's decision comes a day after India's companies court said ZEE should consider a request by top investors, Developing Markets Fund and OFI Global China Fund LLC, to hold an EGM.
Invesco and OFI Global, which together account for 17.88% shares in Zee, earlier this week filed a petition with the National Company Law Tribunal's Mumbai bench.
The two investors took legal recourse after Zee last week signed a merger deal with Sony Group Corp's India unit in move that will create the country's largest broadcaster.
Zee's chief executive officer Punit Goenka will become the merged entity's managing director and CEO as part of the deal.
Invesco and OFI Global had earlier this month asked Zee to remove Punit Goenka and two directors from the board and to appoint multiple independent directors.
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