MUMBAI: Zee Entertainment Enterprises has called an extraordinary general meeting (EGM) on July 31 to seek shareholder approval for a Rs 3,143.5 crore preferential issue of fully convertible warrants to promoter group entity Sunbright Mauritius Investments Ltd and a new employee stock option plan.The company plans to issue up to 24.95 crore warrants at Rs 126 apiece. The warrants can be converted into equity shares within 18 months, with the investor paying 25% upfront and the remaining 75% at the time of conversion.According to the EGM notice, the proceeds will be deployed to fund Zee's next phase of growth, with Rs 1,000 crore earmarked for sports rights and production, including the acquisition of media rights across sports such as badminton, football and kabaddi, as well as investments in sports production infrastructure.The company has earmarked Rs 450 crore each for new content and technology and digital initiatives, and another Rs 450 crore for its short-form content platform Bullet. These investments will support proprietary content creation, AI-led personalisation, creator ecosystem development, ad-tech capabilities and visual effects.Another Rs 300 crore will be invested in kids' edutainment and animation, while Rs 944 crore has been earmarked for potential acquisitions in music content, digital platforms, production and VFX services, out-of-home media and live events.The proceeds will be received in tranches as the warrants will be converted over an 18-month period from the date of allotment. Zee said it expects to deploy the funds within 12 months of receipt, depending on business requirements and fund availability. CARE Ratings will monitor the utilisation of the proceeds.The company will provide shareholders with the facility to vote electronically both remotely and during the meeting. Remote e-voting will be open from 9 am IST on July 27 until 5 pm IST on July 30.