Summary Box: Lions Gate offers to combine with MGM

AP News
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Posted: Oct 12, 2010 2:52 PM
Summary Box: Lions Gate offers to combine with MGM

WHAT: Lions Gate Entertainment Corp. has offered to combine its business with debt-ridden Metro-Goldwyn-Mayer Studios Inc. Billionaire investor Carl Icahn, who owns stakes in both studios, supports the deal.

ICAHN'S ROLE: He said the proposal is better than a current plan to combine MGM with Spyglass Entertainment. Icahn has been trying to buy Lions Gate for more than a year.

THE MOVIES: MGM owns rights to the James Bond movie franchise and is planning to make a two-part movie with Warner Bros. based on "The Hobbit." Lions Gate recently released "The Expendables."