The company, in an SEC filing Wednesday, said that “Despite the volatile market environment” Lionsgate remains “on a path to separating our Starz and studio businesses.” However, Lionsgate is increasingly focused on divesting the studio side of the house.
“As negotiations progress, we have increased our focus on the possibility of spinning our studio business, creating a number of financial and strategic benefits,” the company said in an SEC filing Wednesday. “In that regard, we are continuing productive negotiations with prospective strategic and financial partners on both sides of our business.”
Lionsgate did not identify the parties it’s involved in talks with.
The company previously announced that it would look at spinning off or selling Starz, which it acquired in 2016, as part of reducing debt. Among the suitors are Roku and Apollo Group, which had teamed up on a bid to acquire a minority stake in Starz.
Lionsgate’s disclosure about potentially spinning off its studio biz came as the company also announced that it is rebranding Starzplay, its international streaming service, has been rebranded as Lionsgate+. The rebranded Lionsgate+ will be available in 35 countries including the U.K. and Canada on Sept. 29.
More to come