Acquisition Adds 6,500 Titles to Lionsgate
Library, Strengthens its Scripted and Unscripted Television
Business and Expands its Presence in Canada and the UK
SANTA
MONICA, Calif. and PAWTUCKET,
R.I., Aug. 3, 2023 /PRNewswire/ -- Lionsgate
(NYSE: LGF.A, LGF.B) and Hasbro (NASDAQ: HAS) today announced that
they have signed an agreement under which Lionsgate will acquire
the independent content platform eOne in a transaction valued at
approximately $500 million, comprised
of cash of $375 million subject to
additional purchase price adjustments, and the assumption of
production financing loans. The agreement is subject to
Hart-Scott-Rodino approval and customary closing conditions.
eOne is a world-class producer of scripted and unscripted
television and motion pictures with global distribution and a
6,500-title film and television library. Under the
agreement, Lionsgate will acquire a library that includes
titles such as 1917, Atomic Blonde, Green
Book, Grey's Anatomy, Criminal
Minds, Renegade and Designated
Survivor. eOne's scripted television business is powered
by The Rookie TV franchise, now in its sixth
season on ABC, the hit spinoff The Rookie: Feds, and
production of Showtime's critically-acclaimed horror
thriller Yellowjackets. eOne's unscripted
business is led by the long-running hit reality
series Naked & Afraid, now in its
11th season on Discovery.
eOne's film division has a track record of critically-acclaimed
films including last year's action adventure The Woman
King, which debuted to widespread critical acclaim, the Academy
Award-nominated The United
States v. Billie Holiday,
and 1917, eOne's highest-grossing UK release
ever. As part of the agreement, Lionsgate also will
acquire film development rights
to Hasbro's Monopoly, based on the wildly popular
board game. The eOne acquisition will allow Lionsgate to
continue to scale its operations in the UK and Canada, where it has recently launched
production partnerships with BBC Studios (Ghosts), Channel
Four (Motherland), the CBC (Son of A Critch), Rogers'
CityTV (Wong & Winchester) and Bell Media.
"The acquisition of eOne checks off all the boxes in areas
that play to our core strengths," said Lionsgate CEO
Jon Feltheimer. "It will be
immediately and highly accretive, adds a world-class library with
thousands of properties, strengthens our scripted and unscripted
television business and continues to expand our presence in
Canada and the UK. The deal
is the culmination of our long-standing relationship with the
immensely talented team at eOne, and it continues to build our
position as one of the world's leading independent content
platforms with a stockpile of great intellectual properties and a
unique, non-replicable portfolio of assets."
The deal was negotiated by COO Brian
Goldsmith, EVP & General Counsel Bruce Tobey, EVP Corporate Development Miles
Delaney and VP Corporate Development Suzy Felfeli for
Lionsgate. Jefferies & Co., Ernst & Young and Sheppard Mullin advised Lionsgate on
the transaction.
About Lionsgate
Lionsgate (NYSE: LGF.A, LGF.B) encompasses world-class motion
picture and television studio operations aligned with the STARZ
premium global subscription platform to bring a unique and varied
portfolio of entertainment to consumers around the world. The
Company's film, television, subscription and location-based
entertainment businesses are backed by a 18,000-title library and a
valuable collection of iconic film and television franchises. A
digital age company driven by its entrepreneurial culture and
commitment to innovation, the Lionsgate brand is synonymous with
bold, original, relatable entertainment for audiences
worldwide.
For media inquiries, please contact:
Peter D. Wilkes, Lionsgate
310-255-3726
pwilkes@lionsgate.com
Forward-Looking Statements
This press release contains forward-looking information related
to the Company and the proposed acquisition of the eOne
content platform business ("eOne") from Hasbro, Inc. ("Hasbro") by
the Company, that involves substantial risks, uncertainties
and assumptions that could cause actual results to differ
materially from those expressed or implied by such statements. When
used in this communication, words such as "enables", "intends",
"will", "can", "expected", "enhances" and similar expressions and
any other statements that are not historical facts are intended to
identify forward-looking statements. Forward-looking
statements in this press release include, among other things,
statements about the potential benefits of the proposed
transaction, the Company's plans, objectives, expectations and
intentions, the financial condition, results of operations and
business of the Company, eOne or Hasbro, and the anticipated timing
of closing of the proposed transaction. Risks and uncertainties
include, among other things, risks related to the ability of the
Company to consummate the proposed transaction on a timely basis or
at all; the Company's ability to secure regulatory approvals on the
terms expected, in a timely manner or at all; the Company's ability
to successfully integrate eOne's operations; the Company's ability
to implement its plans, forecasts and other expectations with
respect to eOne's business after the completion of the transaction
and realize expected synergies; the ability to realize the
anticipated benefits of the proposed transaction, including the
possibility that the expected benefits from the proposed
transaction will not be realized or will not be realized within the
expected time period; disruption from the transaction making it
more difficult to maintain business and operational relationships;
risks related to diverting management's attention from the
Company's ongoing business operations; potential negative
effects of the announcement or the consummation of the proposed
transaction on the market price of the Company's common stock or on
the Company's operating results; significant transaction costs;
unknown liabilities; the risk of litigation or regulatory actions
related to the proposed transaction; future levels of the Company's
indebtedness; and the effect of the announcement or pendency
of the transaction on the Company's or eOne's business
relationships, operating results, and business generally.
Further information on these and other risks and uncertainties
relating to the Company can be found in its reports filed on
Forms 10-K, 10-Q and 8-K and in other
filings the Company makes with the SEC from time to time
and available at www.sec.gov. Copies of documents filed
with the SEC by the Company (when they become available) may be
obtained free of charge on the Company's website
at https://investors.lionsgate.com/. The forward-looking
statements included in this communication are made only as of the
date hereof. The Company disclaims any obligation to update these
forward-looking statements, except as required by law.
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SOURCE Lionsgate