Lights, camera… and now a lot more action behind the scenes Zee Entertainment Enterprises is doubling down on the magic that happens after the shoot, betting big on visual effects and animation to power its next growth chapter. The company has approved a strategic investment of up to Rs 116 crore in Phantom Digital Effects, marking a decisive push into the fast-growing animation, visual effects, gaming and comics (AVGC) segment. The investment will be made through compulsorily convertible debentures in one or more tranches, subject to shareholder approvals.
The move signals a clear shift in Zeel’s playbook from just telling stories to engineering how they look, feel and travel across platforms. With PhantomFX’s global footprint spanning key markets such as the US and UK, the partnership is expected to significantly enhance Zeel’s ability to create high-impact, visually rich content across OTT originals, animation, gaming and mythology-led formats.
Speaking about the investment, Zee Entertainment Enterprises CEO Punit Goenka said, “At ‘Z’, we have always stayed ahead of the curve by enhancing our capabilities to engage meaningfully with consumers worldwide. The strategic investment in PhantomFX is a firm step toward building scale and innovation depth. PhantomFX’s global expertise in high-end animation and VFX complements our aspiration to create immersive content IPs across geographies and formats. We will continue to build future-ready capabilities that broaden our creative canvas and technological prowess to lead the next phase of growth in the entertainment ecosystem.”
At the heart of the collaboration lies a blend of storytelling muscle and technological precision. Zeel plans to tap into PhantomFX’s AI-integrated production workflows, proprietary pipelines and post-production expertise to improve efficiency and scale across projects. The two companies will also jointly develop original intellectual properties for OTT, gaming and licensing, expanding monetisation avenues beyond traditional formats.
The partnership is structured as non-exclusive, allowing PhantomFX to retain operational independence while continuing to serve its global clientele. For Zeel, however, the alliance offers a steady pipeline of creative and technical capabilities, enabling it to strengthen its omni-channel strategy and build globally relevant content assets.
Phantom Digital Effects founder and CEO Bejoy Arputharaj shared, “We are delighted to collaborate with a leading content powerhouse like ‘Z’. This long-term strategic investment preserves our operational independence while enhancing capabilities through world-class animation, VFX, AI-powered workflows and global craftsmanship. Our portfolio of studios will help ‘Z’ deliver creative scale and strong IPs across animation, gaming, mythology, fantasy and immersive formats. With this investment, we aim to accelerate PMG’s ambition to expand its footprint in the global content value chain.”
PhantomFX brings with it an impressive pedigree. Its network includes award-winning studios such as Tippett Studio known for Academy Award-winning work on Jurassic Park and Star Wars: Episode VI – Return of the Jedi and Milk Visual Effects, which has bagged both an Oscar and a BAFTA for Ex Machina.
The investment comes at a time when the AVGC space is rapidly expanding, driven by demand for immersive, effects-heavy storytelling and cross-platform content experiences. For Zeel, this isn’t just a deal, it’s a visual upgrade to its global ambitions, where pixels, pipelines and IP could define the next blockbuster moment.
