Icahn extends, amends Lions Gate tender offer

NEW YORK (BestGrowthStock) – Carl Icahn on Tuesday amended his offer to purchase the outstanding common shares of Lions Gate Entertainment Corp for $7.50 per share in cash, extending it to 11:59 p.m., Vancouver time, on December 10.

He also waived two remaining major conditions to the offer: one requiring at least 50.1 percent of Lions Gate shares be tendered and one requiring that Lions Gate’s issuance of over 16 million shares on July 20 to a fund controlled by director Mark Rachesky be rescinded.

The revised offer will now have only one condition: that the New York State Supreme Court grant the Icahn Group’s pending motion for a preliminary injunction preventing the Lions Gate shares issued in July to the Rachesky-controlled fund from being voted at the annual general meeting of Lions Gate shareholders.

Last week, Icahn announced a slate of five proposed dissident directors for the board of Lions Gate, setting the stage for another showdown between the billionaire investor and the Hollywood studio’s senior executives.

The nominations by Icahn — who attacked studio management for failing to staunch a bleeding stock price — comes just a week after the Hollywood studio behind “Mad Men” and “Saw” unveiled its own 12 candidates. All but one of those were incumbents.

Icahn earlier this year launched a hostile takeover bid for Lions Gate. His latest filing proposing the slate of directors shows he owns nearly 33 percent of the company’s shares.

Shareholders are scheduled to elect 12 new directors at an annual meeting on December 14 in Los Angeles.

(Reporting by Steve James)

Icahn extends, amends Lions Gate tender offer