In a widely expected move, Lionsgate shareholders Wednesday voted overwhelmingly in favor of the separation of the company’s studio business and the Starz subscription business.
The vote came at Lionsgate’s annual shareholder held April 23. At the meeting, all other proxy resolutions, including the slate of board of director nominees and executive compensation, were also approved. Lionsgate is expected to detail certified vote totals in an SEC filing later Wednesday.
The transaction separating Lionsgate Studios and Starz is expected to close in early May.
Lionsgate’s plan to split its studio business from Starz has been in the works for years, and at one time it expected the transaction to be close in early 2023. The company acquired Starz, a premium cable network and streamer, in 2016 for $4.4 billion.
Under the plan, Starz will be led by current CEO Jeff Hirsch and will trade under the stock symbol STRZ. Lionsgate Studios trades under the symbol LION.
In January, Lionsgate extended its multiyear theatrical output deal with Starz, which keeps exclusive first pay TV and SVOD window rights to the studio’s films. As part of the new deal extension, the theatrical films will now appear on Starz “on an accelerated basis closer to their initial theatrical release.”
Pictured above: Keanu Reeves in “John Wick: Chapter 4”
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