Invesco Developing Markets Fund, the largest shareholder with ownership interest of almost 18% in Zee Entertainment Enterprises Ltd., has written an open letter to Zee shareholders, outlining the urgent need for independent perspectives on the board of directors.
“As long-term investors and stewards of investor capital, the Invesco Developing Markets team takes its fiduciary duty very seriously and is committed to acting in the best interest of clients and shareholders,” wrote Justin Leverenz, chief investment officer, developing markets equities, in the letter.
“We have been a significant shareholder in Zee Entertainment Enterprises for over a decade. The depth of talent within Zee gives us conviction that if the company were properly managed, it has the potential for tremendous growth and success,” he said.
“We are disappointed that the leadership of Zee has resorted to a reckless public-relations campaign in response to the overwhelming demand from shareholders for leadership changes at Zee,” he added.
“These actions and rhetoric are aimed at avoiding true accountability for the governance lapses and shareholder value destruction that the current leadership and board have presided over,” he said.
“We are calling on Zee shareholders to join us in asking why the founding family, which holds under 4% of the company’s shares, should benefit at the expense of the investors who hold the remaining 96%,” he further added.
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