Inside Lionsgate’s Head-Spinning Spinoff Strategy: Sell the Studio (or Starz) But Keep Control

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“This isn’t a divorce, more of a separation,” one analyst says of the possibility that the studio assets could be spun off rather than Starz

Lionsgate Starz
TheWrap Photo Illustration

Lionsgate has been an attractive acquisition target for years, with rumors constantly swirling and at least a few deals that never got over the finish line. But the mini-major’s latest moves have some analysts thinking that CEO Jon Feltheimer may be positioning the company for something other than being sold wholesale to the highest bidder.

Eyebrows were raised about Lionsgate late last month when the company filed an 8-K form signaling its intention to spin off the studio and production side as its own entity, as opposed to the Starz cable network and streaming service that had long been tipped as the business unit most likely to be spun off.