Lionsgate and Screaming Eagle Successfully Clear SEC Hurdle for SPAC-Style Merger to Launch Standalone Studio

Lionsgate Studios, the renowned Hollywood studio, is set to launch as a standalone public company in early May after Screaming Eagle Acquisition Corp., a Special Purpose Acquisition Company (SPAC), announced that the registration statement for the proposed merger has been declared effective by the U.S. Securities and Exchange Commission.

Led by SPAC sponsor Eagle Equity Partners and CEO Eli Baker, the deal will see Lionsgate Studios listed on NASDAQ under the ticker symbol LION. The merger prospectus has been sent to Screaming Eagle’s shareholders and public warrant holders, with shareholders meetings scheduled for May 7.

The move to spin off Lionsgate Studios aims to provide the studio, led by CEO Jon Feltheimer, with more options as it prepares to separate its film and TV studios from Starz. By becoming a publicly traded entity, Lionsgate Studios will have the opportunity to raise fresh capital and explore potential mergers with existing businesses.

The SPAC deal is seen as a strategic move to unlock hidden shareholder value for Lionsgate Studios and Starz assets, with the parent company retaining 87.3 percent of the shares in the new entity. Screaming Eagle Acquisition Corp. will control the remaining 12.7 percent equity stake.

With a vast library of movies and television franchises, Lionsgate Studios is poised to thrive as a standalone company, offering exciting opportunities for growth and expansion in the entertainment industry.