MUMBAI: Essel group is planning to sell 16.5 per cent stake in its flagship property Zee Entertainment Enterprises Limited (ZEEL) to financial investors, of which 2.3 per cent will be sold to OFI Global China Fund -- which already holds 8.7 per cent stake in the media company.

 “The Group seeks to sell up to -16.5 per cent stake in ZEEL to financial investors, in order to repay loan obligations to certain lenders of the group for whose benefit such shares are currently encumbered (and who have consented to such share sale by the Group). Out of the aforesaid the Group seeks to sell-2.3 per cent stake in ZEEL to OFI Global China Fund, LLC and or its affiliates,” the company stated in a statement. OFI Global China Fund is a subsidiary of Invesco Oppenheimer Developing Markets Fund.

“This development reaffirms the Group's positive progress on its overall asset divestment approach, undertaken to generate adequate liquidity for the repayment process. The Group is also working actively on further divestments including its medial non-media assets and remains confident to complete the same,” it added.

Earlier in August, ZEEL reached an agreement with US-based Invesco-Oppenheimer Developing Markets Fund for 11 per cent (around Rs 400 per share) of the promoter stake for Rs 4,224 crore. At that time, ZEEL MD and CEO Punit Goenka did not rule out selling more stake in the company.

In November last year, Subhas Chandra-led Zeel had revealed the decision of its promoters to sell up to 50 per cent of their equity in the company to a strategic partner.