Zeev's Turnips Patch-No Politics (ZEEV)

[was hotlinktuna]

Bullish article LGF 9.79 +.21 HOD: Major studios eye Lions Gate
Posted Nov 1, 2005, 12:00 PM ET by Martha Fischer
Filed under: Box Office, Deals, Lions Gate Films, MGM, Newsstand, Horror, Sony

Not only has the massive open of Saw II caused the value of Lions Gate stock to rise, but it's also made the independent company (which both produced and distributed the film) a drool-worthy takeover target in the eyes of the major Hollywood studios. Though rumors have long-swirled about who will eventually buy Lions Gate, the recent hiring of former major shareholder and ex-chairman of the board Harry Sloan as the CEO of MGM (recently, in turn, bought by Sony) has sent those rumors into overdrive.

At the moment, the people at Lions Gate are sitting pretty: Saw II's open was so big that it is already in the black (it made $31 million and cost only $5 million to put together), their overall value is up, and everyone wants to be their friends. Life is good when you're hot - at least until people find out that you agreed to distribute Rambo IV.
Thought I'd pass it along...tuna