On August 27, 2024, Bloomberg published an article entitled “Lions Gate Sued by Pension Fund Seeking to Block Starz Split.” It stated that “[o]ne of the world’s largest pension funds sued Lions Gate Entertainment Corp. to block the movie and television studio from separating its struggling Starz cable and streaming service via a blank-check merger. Canada Pension Plan investment Board … filed a lawsuit Tuesday in New York alleging Lions Gate violated obligations to investors in a $1 billion 2021 note issue in order to pave the way for its profitable studio business to be transferred to a special purpose acquisition company.”
On this news, Lions Gate’s Class A common stock fell 3.58% on August 27, 2024, and Lions Gate’s Class B common stock fell 3.5% on that same day.
