Zee Entertainment Enterprises was informed that a penalty of Rs. 4,00,000/- was imposed on its promoter, Cyquator Media Services Private Limited. The penalty stems from violations concerning the Substantial Acquisition of Shares and Takeovers Regulations, 2011. Specifically, the lapses involved non-disclosure or incorrect disclosure regarding the pledge, invocation, and subsequent transfer of shares dating back to December 2016 through February 2019.
Regulatory Action Against Promoter Entity
Zee Entertainment Enterprises Limited (ZEEL) has disclosed a regulatory action taken against one of its promoters, Cyquator Media Services Private Limited. The Securities and Exchange Board of India (SEBI) issued an order dated February 10, 2026, imposing a monetary penalty on the promoter entity.
The quantum of the penalty imposed amounts to Rs. 4,00,000/- (Rupees Four Lakhs Only). This action was taken under Section 15A(b) of the SEBI Act, 1992.
Basis of Violation Details
The penalty relates to contraventions of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 (referred to as “Takeover Regulations”). The specific alleged violations committed by the promoter were:
- Violation of Regulation 31(1) r/w 31(3) of the Takeover Regulations.
- Violation of Regulation 31(2) r/w 31(3) of the Takeover Regulations.
- Violation of Regulation 29(2) of the Takeover Regulations.
These breaches centered around required disclosures concerning transactions involving the pledge of shares that occurred on December 14, 2016, the invocation of that pledge on January 28, 2019, and the subsequent transfer of those shares on February 02, 2019.
Impact Assessment
In the assessment provided by the Company Secretary, the impact of these disclosure violations on the financial, operational, or other activities of the listed entity (ZEEL) is considered Not Applicable, as the impact is not quantifiable in monetary terms for the entity itself.
The full details of this disclosure, as required by the relevant circulars, were furnished in an annexure accompanying the formal letter dated February 11, 2026.
Source: BSE
