Carl Icahn ups stake in Lionsgate to 14%
Financier also may become a more active shareholderAs Lionsgate was savoring the $41 million that "Madea Goes to Jail" made over the weekend -- its best opening ever -- Carl Icahn was disclosing he has upped his stake in the company to more than 14% and that he may become a more active shareholder.
The filing juiced Lionsgate stock 8% to $4.54, making it the strongest performer on The Hollywood Reporter Showbiz 50 index.
Icahn has amassed 16.5 million shares of Lionsgate at an average price of about $6.80 apiece since he began buying them in 2005, so his investment so far is underwater.
So it might come as little surprise that the most recent filing from the billionaire financier states that he may seek to nominate new board members either by increasing the size of the board or by ousting existing members, or both.
Icahn says he may take "any such action at the issuer's next annual meeting of shareholders or at a special meeting" that he might call.
Just one week ago, Icahn had about a 12% stake in Lionsgate.
Icahn of course is known for being an active shareholder, forcing changes at companies like Time Warner and Blockbuster and a host of others in various industries.
His threat of activism Monday helped Lionsgate buck a wicked Wall Street trend, with the Dow dropping to levels not seen since 1997. On Monday, Lionsgate was one of only eight stocks to rise on the THR Showbiz 50.