Lions Gate eyes a merger with MGM

first_img whatsapp whatsapp Share Lions Gate eyes a merger with MGM KCS-content AMERICAN film studio Lions Gate Entertainment proposed a merger with troubled rival Metro Goldwyn Mayer (MGM) yesterday, in a move to end months of tussling over the ownership of both firms.Lions Gate’s biggest shareholder, corporate activist Carl Icahn, gave the merger offer his blessing yesterday, saying in a statement that such a deal would “enhance value for all constituencies”.Icahn also holds $500m (£316.5m) of MGM’s debt, and has spent the last year bidding to take over Lions Gate. Terms of the offer have not been disclosed, but reports last night said MGM’s creditors would own 55 per cent of the combined company. Icahn said in a regulatory filing he preferred Lions Gate’s offer to an earlier deal offered by Spyglass Entertainment. MGM, home to the James Bond films and a new remake of The Hobbit, asked its creditors last week to accept a pre-packaged bankruptcy plan in which Spyglass would take 95 per cent of MGM’s shares in exchange for more than $4bn of its liabilities. Creditors have until 22 October to agree to this arrangement, the same days that Icahn’s latest bid to take over Lions Gate expires. Lions Gate said yesterday’s offer “follow[ed] detailed discussions” with Icahn, suggesting it has set aside its differences with Icahn in pursuit of MGM. center_img Read This NextRicky Schroder Calls Foo Fighters’ Dave Grohl ‘Ignorant Punk’ forThe WrapCNN’s Brian Stelter Draws Criticism for Asking Jen Psaki: ‘What Does theThe WrapDid Donald Trump Wear His Pants Backwards? Kriss Kross Memes Have AlreadyThe WrapHarvey Weinstein to Be Extradited to California to Face Sexual AssaultThe Wrap’Sex and the City’ Sequel Series at HBO Max Adds 4 More ReturningThe WrapPink Floyd’s Roger Waters Denies Zuckerberg’s Request to Use Song in Ad:The Wrap’The View’: Meghan McCain Calls VP Kamala Harris a ‘Moron’ for BorderThe WrapNewsmax Rejected Matt Gaetz When Congressman ‘Reached Out’ for a JobThe Wrap2 HFPA Members Resign Citing a Culture of ‘Corruption and Verbal Abuse’The Wrap by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryNoteabley25 Funny Notes Written By StrangersNoteableyTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastMoneyPailShe Was A Star, Now She Works In ScottsdaleMoneyPailSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesBrake For ItThe Most Worthless Cars Ever MadeBrake For ItBetterBe20 Stunning Female AthletesBetterBemoneycougar.comThis Proves The Osmonds Weren’t So Innocentmoneycougar.comMagellan TimesThis Is Why The Roy Rogers Museum Has Been Closed For GoodMagellan Times Tags: NULL Show Comments ▼ Tuesday 12 October 2010 9:14 pmlast_img

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