Tree House, Zee Learn Surge After Revised Merger Announcement

Shares of Zee Learn and Tree House Education & Accessories surged as much as 20 per cent each after the boards of the pre-school operators approved a revised merger deal.

According to the new deal, Tree House Education shareholders will get one share of Zee Learn for each share held.

Earlier this year in June, Zee Learn had put on hold the merger deal with Tree House Education which was first announced in December 2015

According to the previous merger scheme, Tree House Shareholders were to get 5.3 equity shares of Zee Learn for each share held.

Zee Learn runs around 1,600 pre-schools, while Tree House operates around 700 centres across the country.

Tree House shares have slumped 85 per cent since the first merger deal was announced on December 4, 2015 while Zee Learn has fallen 31 per cent.

Shares of Tree House Education & Accessories ended 14.83 per cent higher at Rs 36.40 while Zee Learn closed 11.8 per cent higher at Rs 33.65.