Apr 12, 2021
Visit our sister site:

Front Page, Industry News

Report: Lionsgate proposes merger with MGM

Lionsgate has again proposed a merger with MGM, the Los Angeles Times reported.

The proposal reportedly would give MGM lenders a 55% stake in the merged company.

The news comes a day before Lionsgate is scheduled to face off in a Canadian court with billionaire investor Carl Icahn, who has been pushing for a Lionsgate-MGM merger. At the hearing, Icahn’s lawyers are expected to argue that executives and investors at Lionsgate conspired to thwart his bid to take over the mini-studio.

Meanwhile, MGM has been putting the final touches on a financial restructuring that would bring Spyglass Entertainment on board as an operating partner, with Spyglass principals Gary Barber and Roger Birnbaum to take the executive reins of the studio after it completes banktruptcy. Under that deal, Spyglass would get a stake of less than 5% in the studio, leaving 95% for MGM lenders.

The Times reported that the plan still has to be approved by MGM’s 100 or so lenders, with votes due Oct. 22.

Source: The Hollywood Reporter

Leave a Reply

Your email address will not be published. Required fields are marked *

Front Page, Industry News

Report: Lionsgate proposes merger with MGM

Lionsgate has again proposed a merger with MGM, the Los Angeles Times reported.

The proposal reportedly would give MGM lenders a 55% stake in the merged company.

The news comes a day before Lionsgate is scheduled to face off in a Canadian court with billionaire investor Carl Icahn, who has been pushing for a Lionsgate-MGM merger. At the hearing, Icahn’s lawyers are expected to argue that executives and investors at Lionsgate conspired to thwart his bid to take over the mini-studio.

Meanwhile, MGM has been putting the final touches on a financial restructuring that would bring Spyglass Entertainment on board as an operating partner, with Spyglass principals Gary Barber and Roger Birnbaum to take the executive reins of the studio after it completes banktruptcy. Under that deal, Spyglass would get a stake of less than 5% in the studio, leaving 95% for MGM lenders.

The Times reported that the plan still has to be approved by MGM’s 100 or so lenders, with votes due Oct. 22.

Source: The Hollywood Reporter

Leave a Reply

Your email address will not be published. Required fields are marked *

Front Page, Industry News

Report: Lionsgate proposes merger with MGM

Lionsgate has again proposed a merger with MGM, the Los Angeles Times reported.

The proposal reportedly would give MGM lenders a 55% stake in the merged company.

The news comes a day before Lionsgate is scheduled to face off in a Canadian court with billionaire investor Carl Icahn, who has been pushing for a Lionsgate-MGM merger. At the hearing, Icahn’s lawyers are expected to argue that executives and investors at Lionsgate conspired to thwart his bid to take over the mini-studio.

Meanwhile, MGM has been putting the final touches on a financial restructuring that would bring Spyglass Entertainment on board as an operating partner, with Spyglass principals Gary Barber and Roger Birnbaum to take the executive reins of the studio after it completes banktruptcy. Under that deal, Spyglass would get a stake of less than 5% in the studio, leaving 95% for MGM lenders.

The Times reported that the plan still has to be approved by MGM’s 100 or so lenders, with votes due Oct. 22.

Source: The Hollywood Reporter

Leave a Reply

Your email address will not be published. Required fields are marked *

Advertisements