Zee Media Corporation has announced a significant financial move with its board approving the issuance of Foreign Currency Convertible Bonds (FCCBs) totaling $465.9 million (approximately ₹399.78 crore). The media company disclosed this strategic decision to the National Stock Exchange and BSE Limited following a board meeting earlier today.
The 10-year bonds, carrying a 5% annual coupon rate, will be privately placed with two international investors: UNICO Global Opportunities Fund Limited and Sun India Opportunities Investing Fund. This financing structure complies with the Reserve Bank of India’s External Commercial Borrowing guidelines.
These unlisted and unsecured bonds will be issued across five series with staggered funding draws. The conversion price has been established at ₹13.50 per equity share (including ₹12.50 premium), based on the 1993 FCCB Scheme pricing formula. The minimum “floor price” is set at ₹13.04 per share, with April 8, 2025, serving as the reference date.
If fully converted, the transaction could result in Zee Media issuing up to 2.96 billion new equity shares of ₹1 each. The company confirmed it has maintained a clean record regarding coupon payments on previous FCCB issuances.
This financing initiative appears designed to enhance Zee Media’s operational flexibility amid India’s evolving media landscape.
