India's Zee Entertainment to raise nearly $240 mln
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 06 2024
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Source: reuters
- Zee Entertainment Enterprises Fundraise: Zee Entertainment Enterprises board approved a fundraise of up to 20 billion rupees ($239.6 million) to enhance strategic flexibility for future growth opportunities.
- Failed Deals and Cost Reduction: Zee faced setbacks with failed deals including a $10 billion merger with Sony India and a $1.4 billion cricket broadcasting deal with Walt Disney, leading to cost-cutting measures to meet profit targets.
- Fundraising Plans: Zee plans to raise funds through equity shares or other eligible securities via private placements, qualified institutions placements, and preferential issues.
- Competition and Legal Battles: Zee faces new competition after Reliance and Disney merged their Indian assets, creating an $8.5 billion media entity, amidst legal battles and fallout from failed deals.
- Market Response: Zee shares, which had declined post the Sony merger fallout, saw a 5.2% increase in trading after the announcement of the fundraise.
Analyst Views on DIS
Wall Street analysts forecast DIS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DIS is 137.29 USD with a low forecast of 123.00 USD and a high forecast of 152.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
16 Buy
3 Hold
0 Sell
Strong Buy
Current: 113.210
Low
123.00
Averages
137.29
High
152.00
Current: 113.210
Low
123.00
Averages
137.29
High
152.00
About DIS
The Walt Disney Company is a diversified worldwide entertainment company. The Company's segments include Entertainment, Sports and Experiences. The Entertainment segment generally encompasses its non-sports focused global film and episodic content production and distribution activities. The lines of business within the Entertainment segment along with their business activities include Linear Networks, Direct-to-Consumer, and Content Sales/Licensing. The Sports segment encompasses its sports-focused global television and direct-to-consumer (DTC) video streaming content production and distribution activities. The lines of business within the Sports segment include ESPN and Star. The Experiences segment includes Parks and Experiences and Consumer Products. Parks and Experiences consists of Walt Disney World Resort in Florida, Disneyland Resort in California, Disney Cruise Line, and others. Consumer Products includes licensing of its trade names, characters, visual, literary and other IP.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
