Lionsgate Rejects Icahn’s Takeover Offer

SANTA MONICA: Lionsgate’s board has referred to Carl Icahn’s latest tender offer, for all of the company’s outstanding shares, as "financially inadequate and coercive."

The offer, a statement from the independent studio said, is "not in the best interests of Lionsgate, its shareholders and other stakeholders. Accordingly, the Board recommends that Lionsgate’s shareholders reject the Icahn Group’s offer and not tender their shares into the Icahn Group’s offer."

"We believe that nothing has changed—the offer remains financially inadequate and still does not reflect the full value of Lionsgate shares," said Lionsgate’s co-chairman and CEO, Jon Feltheimer. "The only substantive change is that the Icahn Group is now bidding for full control of the Company without offering a meaningful vision, without demonstrating a relevant track record of industry experience and without paying a control premium. We believe that this financially inadequate proposal stands in stark contrast to our patient, disciplined strategy of building a strong and diversified company step by step over the past ten years under a seasoned board of directors and an experienced management team. Our plan for continuing to grow our portfolio of businesses is reflected in our ongoing achievements and initiatives each week."

Icahn offered $6 per share for all of Lionsgate’s outstanding shares. He previously made a tender offer to up his stake from about 18 percent to 30 percent.