Lionsgate Stock Surges as Netflix Takeover Talk Puts LION Back in Deal Spotlight
Lionsgate Studios Corp. stock rose sharply Tuesday as investors reacted to fresh takeover speculation around the film and television studio. LION recently traded at $16.35, up $1.98, with an intraday range of $14.33 to $16.69 and volume above 11.8 million shares, according to live market data. Investor’s Business Daily reported that Semafor said Netflix is interested in buying Lionsgate and that several media companies are showing interest in the studio. The stock rose because a potential acquisition can create a takeover premium, meaning a buyer may have to offer more than the market price to persuade shareholders to sell. That same logic can pressure the possible buyer’s stock. Netflix shares fell in the same session, with IBD noting investor concern around another large media deal after Netflix lost out on Warner Bros. Discovery to Paramount Skydance earlier this year.
