Zee Entertainment shares rose more than 6% on Friday after the Securities Appellate Tribunal (SAT) granted the company interim relief in its case against a SEBI order.
The relief allows Zee Entertainment to go ahead with its preferential warrant issue and use its mutual fund investments to pay dividends, according to the SAT hearing.
By midday, the stock was trading at Rs 102.70 on NSE, up 5.69 points from its previous close of Rs 96.75. The Nifty 50, meanwhile, was down around 0.3%.
Relief Allows Preferential Warrant Issue
The tribunal has allowed Zee Entertainment to proceed with its proposed preferential warrant issue as part of the interim relief granted to the company.
The development comes in the backdrop of SEBI's order against the company. However, the interim relief granted by SAT is subject to Zee Entertainment depositing the penalty, according to the hearing.
The tribunal's order enables the company to move ahead with the preferential issue while the proceedings go on.
Also Read: SAT Grants Interim Relief To Zee Entertainment From SEBI Order; Allows Preferential Warrant Issue
Access To Mutual Fund Units
SAT has also allowed Zee Entertainment to access its mutual fund units for the purpose of distributing dividends.
The tribunal's direction provides interim relief on the company's ability to use these holdings for dividend distribution, subject to the conditions laid down during the hearing.
The relief is not an end to the proceedings against the company. Zee Entertainment will have to comply with the condition related to the penalty deposit while the matter progresses.
Zee Entertainment Shares Movement
Shares of Zee Entertainment gained close to 13% in 2026; however, they remained flat over the past month.
The stock traded within the range of Rs 68 and Rs 124.14 apiece on the NSE during the past 52 weeks.
Currently, it is trading at a price-to-earnings multiple of 46.03 times, with a market cap of around Rs 9,815.6 crore.
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