Indian court asks Zee to call shareholder meeting in win for Invesco

NEW DELHI: An Indian court on Thursday asked Zee Entertainment Enterprises to call a meeting of shareholders, as sought by top investor Invesco which is pushing for the removal of the TV network's CEO and a board revamp.

Any resolution passed at the extraordinary general meeting will be put on hold, however, until the Bombay High Court decides on the legality of the Invesco's request for such a meeting. Zee and Invesco did not immediately respond to a request for comment.

Invesco, which owns nearly 18% of Zee via two funds, wants a shakeup at the Indian TV network over corporate governance concerns at a time when the company is planning a merger with the local unit of Japan's Sony Group.

That move is set to create India's biggest broadcaster but Invesco has raised concerns about options given to Zee's founding family, which includes its CEO Punit Goenka, to raise their stake in the merged company to 20%. Zee's founder and Goenka's father Subhash Chandra has accused Invesco of plotting a hostile takeover.