Both companies will withdraw their respective composite arrangement plans from the NCLT and inform the relevant regulatory authorities, thereby ending the $10 billion deal.
Zee said it will settle all disputes relating to the transaction with CMEPL and BEPL. The company said CMEPL and BEPL have agreed to waive all their rights to make any claims.
Agreement to withdraw all applications and claims before the Singapore International Arbitration Centre, and both have agreed to mutually terminate all transaction documents.
“As part of the settlement, the companies (Zee and Sony Pictures India) have mutually agreed to withdraw all relevant claims against each other in the ongoing arbitration at the Singapore International Arbitration Centre and all related legal proceedings initiated in the National Company Law Tribunal (NCLT) and other forums,” Zee said in a filing.
The agreement also includes the withdrawal of all claims for a $90 million termination fee, indemnification, litigation and other costs, and the withdrawal of all claims for settlement, hive-off, spin-off, closure, liquidation, wind-up of business and any other asset costs.
Zee Entertainment's proposed $10 billion merger with Sony Pictures was called off in January this year after being in the works for over two years.
Following today's announcement, ZEEL shares rallied up to 10% to hit an intraday high. 154.90.