In a statement issued to the press, CCI said that the proposed combination relates to amalgamation of each of ZEE and BEPL with and into CME; and preferential allotment of certain shares by CME to Sunbright International Holdings (earlier known as Essel Holdings), and Sunbright Mauritius Investments.

CME is an indirect wholly owned subsidiary of Sony Group Corporation (SGC). CME is part of the SGC group (SGC Group). CME has several general entertainment channels (GEC), film, sports and kids' entertainment channels in India. SonyLIV is CME's digital entertainment video service which provides OTT services in India and international markets. CME reaches out to over 700 million viewers in India and is available in 167 countries.

BEPL is also an indirect wholly owned subsidiary of SGC and a part of the SGC Group. BEPL is broadly engaged in the acquisition of rights for motion pictures, events and other TV content; and generating advertising revenue from the telecast of TV content.

"The Commission approved the proposed combination subject to the carrying out of modifications proposed by the parties,” CCI said in a statement.

ZEEL is a media and entertainment company, with presence across the segments of broadcasting, digital content, movies, music and live entertainment, spread over 190 countries. ZEE5 is ZEE's digital entertainment video service which provides OTT services in India and international markets.

The company reported 50.1% drop in consolidated net profit to Rs 106.6 crore despite a 4% increase in operating revenue to Rs 1845.7 crore in Q1 FY23 over Q1 FY22.

On the BSE, 20.57 lakh shares were traded in the counter so far compared with average daily volumes of 9.78 lakh shares in the past two weeks. The stock hit a high of Rs 286.9 and a low of Rs 272 so far during the day.