 "Zee, ZEEL")
The National Stock Exchange (NSE) said that it will stop the issuance of new futures and options contracts for Zee Entertainment after the expiration of the existing contract, according to a report in Moneycontrol.
In an announcement dated April 16, the NSE stated that contracts for new expiry months for Zee Entertainment will not be issued once the existing contract months expire.
According to the Moneycontrol report, the NSE, in its circular, said that Zee has been excluded from futures and options contracts based on "SEBI Circular Ref. No: SEBI/HO/MRD2/PoD-2/CIR/P/2023/171 dated October 16, 2023 and chapter 3.5 of Exchange circular No. NSE/FAOP/57264 dated June 23, 2023 regarding eligibility criteria of stocks. Accordingly, no contracts shall be available for trading in the above-mentioned security with effect from June 28 2024".
The current unexpired contracts for Zee in April, May, and June 2024 will remain open for trading, and new strike options will be introduced within these existing contract months, the report stated.
On Tuesday, the NSE announced that Zee Entertainment contracts will not be available for trading in the futures and options (F&O) segment starting June 28.
In February last year, the NSE removed Zee from the F&O segment after the National Company Law Tribunal (NCLT) admitted an insolvency plea filed by IndusInd Bank against the company. However, the NSE subsequently reversed this action after the NCLT provided interim relief to the media firm by staying the bankruptcy proceedings against it.
Zee Entertainment's shares have almost halved since January following the collapse of its $10-billion merger with Sony Pictures Networks India.
