Hollywood’s favorite M&A target, which never seems to get gobbled up, might just be in for a serious buyout offer.
Legendary has submitted an acquisition offer for Lionsgate, according to a Bloomberg report. Both companies declined to comment on the blindly sourced report, which sent Lionsgate shares soaring by double digits. The report comes just weeks before the company releases its quarterly results on November 5.
Lionsgate, led by Jon Feltheimer, has been here many times before. But since its formal separation from Starz in 2025, the company is even more of a pure play option on the mergers and acquisitions buffet. It has a massive studio library – a film and TV portfolio of 20,000 titles – and is home to active IP franchises such as John Wick, hunger games as well as premier library brands for live experiences and merchandising like DuskOscar winner for best film The The Earth And Dirty dance. (Speaking of Patrick Swayze and Jennifer Gray’s 1987 feature, the film was the “largest individual contributor” in revenue to Lionsgate’s library during its final quarter, Feltheimer said in August.)
The Santa Monica-based company has about 1,000 employees, according to its latest 10-K regulatory filing, following its formal spinoff from Starz, which is forging its own future under Jeffrey Hirsch as a mid-sized streaming TV player in the subscription business fueled by titles like Stranger And Power (which Lionsgate produces).
Recently, Lionsgate was pushed by an activist investor, asset management firm Anson Funds, to pursue a sale of the company.
After the billion dollar grosser Michael At the beginning of this year, the studio took a big turn with The Hunger Games: Sunrise over the Harvestwhich launches in mid-November, and recently wrapped production on the reboot starring Noah Centineo John Ramboas the studio attempts to bring the franchise to life. Speaking of covers, the studio also offers Mel Gibson’s two-part epic The Resurrection of Christ set for next year.
Another key asset that sometimes goes unnoticed: Lionsgate owns 3 Arts Entertainment, a management-production player focused on growth in sports and creator representation.
Legendary, led by CEO Joshua Grode, is now owned by private equity giant Apollo Global Management following the 2024 takeover of Chinese company Dalian Wanda. At the time of this agreement, Grode had suggested The Hollywood Reporter that closing a deal was ahead for the company behind it Dune, Godzilla vs. Kong, Minecraft and other franchises in its Apollo chapter. His most recent theatrical bet, Street fighterwas released with Paramount Pictures and opened to $50 million worldwide over the weekend of October 16-18.
Legendary is also preparing its biggest prestige theatrical title, Dune: Part Threewith Warner Bros. in December, organizing a shock day with Disney and Marvel’s Avengers: Apocalypse.
Gn entert
