Starz Completes Separation From Lionsgate, Touts Focus on Women and Underrepresented Audiences

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Following over eight years cohabiting under the same roof, Starz and Lionsgate have now re-established themselves as independent entities.

On Wednesday, Starz officially separated from its parent studio and will commence its new journey as an independent public company upon market open. Starting from then, its shares will be traded on the Nasdaq stock exchange. The majority of Lionsgate shareholders, who acquired Starz in late 2016, endorsed the breakup in a meeting held on April 23, with a staggering 99% voting in favor.

Today, we’re making a momentous stride in our journey, unlocking substantial worth as an independent entity and solidifying our status as the premier destination for premium entertainment catering to women and underrepresented groups. This separation is particularly timely for the industry, asserted Jeffrey Hirsch, Starz president and CEO, in a statement. Our robust financial standing, captivating content lineup, and cutting-edge technological infrastructure will allow us to adapt swiftly and seize growth prospects, ensuring sustained success for our partners, viewers, workforce, and investors. We extend our gratitude to Jon (Feltheimer) and the entire Lionsgate team for the past eight years of cooperation, as well as for the continued partnership we’ll share, and I eagerly anticipate embarking on this fresh chapter for Starz.

The two companies will continue to share content production on television screens. Lionsgate Television is responsible for producing the main Power franchise for Starz, as well as shows like BMF, P-Valley, and an upcoming series titled The Hunting Wives.

Starz boasts approximately 20 million streaming and cable subscribers in the U.S. and Canada, with around 70% of its earnings derived from digital platforms. Moreover, it’s well-known for the hit series “Outlander”, and is planning to debut a prequel later this year. For the majority of its existence under Lionsgate, Starz has maintained a creative emphasis on series that cater to women and audiences traditionally overlooked in media.

2023 saw Lionsgate initiating the process of parting ways with Starz. To achieve this, they created a Special Purpose Acquisition Company (SPAC) aimed at dividing the two businesses. Shortly after announcing the SPAC plan, CEO Feltheimer stated that they had several alternatives to execute this strategic move. He expressed confidence in the chosen option as it best suited their aim of complete separation, allowing for efficient capital raising with substantial funds available for debt reduction, and establishing a suitable valuation for the studio backed by reputable investors.

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2025-05-07 15:25