US: Lionsgate resumes merger talks with Starz

Lions Gate Entertainment Corp., which runs the film studio that produced The Hunger Games and The Twilight Saga, is back in talks to merge with cable movie channel Starz.

“Lions Gate has informed (Starz) that it intends to explore whether there is a potential mutually beneficial combination of the two companies,” Starz said in a filing Thursday with the Securities and Exchange Commission. “There can be no assurance that there is or will be any such combination.”

The companies have been in talks for months. In February, 2015, Lionsgate, as the company is widely known, announced a stock swap with Starz.

The deal also led to Starz’ top shareholder, Liberty Media Chairman and cable industry legend John Malone, gaining a seat on Lionsgate’s board of directors. And Malone, whose penchant for consolidation through deals is legendary in the media business, has been open about his desire to merge the companies. Last June, Malone told The Wall Street Journal that a merger of Lionsgate and Starz was possible.

Full content: The Wall Street Journal

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