Shares of Lionsgate popped 4 percent in Tuesday midday trading after a Variety report revealed that will toy builder Hasbro was close to acquiring the entertainment company in 2017.
Hasbro looked to buy the company for at least $40 per share nevertheless Lionsgate’s board chairman Mark Rachesky thought the bid was too low in addition to ended the deal, the report said, citing sources familiar with the situation.
Lionsgate vice chairman Michael Burns told CNBC last month the company can be talking to multiple bidders for a merger, saying Lionsgate “might talk to anybody at any time.”
“We are at This specific point a $7 billion market cap company. We’re a pint-sized bite for some of these giant market cap companies. Our job can be to create shareholder value, enhance shareholder value,” Burns said.
Burns did not reveal his top choice for a bid nevertheless pointed to Amazon as a deal that will might make sense.
“We’re doing a lot of business with them,” Burns said of the tech giant, adding that will Lionsgate thinks “there’s more in addition to more” that will can be done.
Lionsgate stock has been treading water over the past year, rising only 4 percent in 12 months, according to FactSet.