Lions Gate Reportedly In Advanced Talks To Acquire Starz

(RTTNews) - Lions Gate Entertainment Corp. (LGF) is in advanced talks to acquire premium cable channel Starz, Bloomberg reported citing people familiar with the matter. Lions Gate would buy Starz for mostly cash and some stock.

STRZA closed Wednesday regular trading at $28.25, up $0.73 or 2.65 percent. In the after hours trade, the stock further gained $2.57 or 9.10 percent.

A deal, which would value Starz at more than $30 per share, could be announced in the next few days. An agreement hasn't been reached and talks could still fall apart, the report said.

The report indicated that an agreement has been very close to being signed for a week now and has been held up over disagreements on price and voting shares.