Lionsgate Stock Falls Sharply on Carl Icahn Settlement
The studio saw its shares slide 7.45% to $6.96 on the NYSE a day after Icahn, its largest investor, agreed to unload his stake.
TORONTO – Stock in Lionsgate Entertainment tumbled Wednesday, a day after Carl Icahn waived the white flag by agreeing to sell his stake in the mini-major for $7.00 a share.
Investors in Vancouver-based Lionsgate followed suit, driving shares in the company down 56 cents, or 7.45%, to at $6.96 at the close of trading on the New York Stock Exchange.
Lionsgate and Icahn on Tuesday unveiled a settlement agreement that will see the billionaire investor sell up to 44,161,971 shares in the company, or around a 33% stake.
The drop in Lionsgate’s stock, and and end to its battle with Icahn, comes ahead of a September 13 annual shareholders meeting in Toronto.