Sony Corp is in advanced talks to buy a 20 to 25 percent stake in Subhash Chandra's Zee Entertainment Enterprises Ltd (ZEEL) and form a strategic partnership with the company, Mint reported.

Share Market Live

NSE

Zee's stake sale comes as the company is struggling to raise funds and pay off debt. The amount raised via the deal will be used to repay promoter debt worth Rs 13,000 crore, the report said citing three people aware of the discussions.

CNBC-TV18 was the first to report that Sony is looking to buy a stake in Zee in January.

The discussions have reached the valuation stage, wherein Chandra wants to sell the stake at a premium of about 30 percent, said the report.

The sticking point could be the quantum of stake as Chandra wants to retain in Zee, the report added.

According to the latest data, Essel Group holds a 41.62 percent stake in Zee, and more than half of the stake is pledged with lenders.