Essel Group, on Sunday, announced that it has got formal consent from lenders who have given it time till September to repay its loan and pare its debts. Promoters of the Essel Group had taken debts from lenders to fuel their infrastructure business. They are all set to sell a part of its stake in Zee entertainment to repay the same.

The share prices of flagship Zee Entertainment and Dish TV plunged after the associate companies were allegedly associated with Nityant Infrapower, during a fraud investigation on the latter, for a huge financial transaction just before demonetization. Despite the denial of any connection to the matter, by the Essel group, the share prices fell more than 18-27% since the news broke out.

Essel Group has been in talks with the lenders and reached an understanding with respect to the pledged shares. A formal consent on the same has been received later on Sunday.

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