Lionsgate faces activist pressure to sell itself in ‘AI era’
Anson Funds is pushing the movie studio to avoid becoming an “AI casualty.”
Activist investor Anson Funds is urging movie studio Lionsgate to pivot towards the "AI era" or consider being acquired, according to a July letter obtained by Semafor. Anson's Sagar Gupta wrote that the market has categorized companies into "AI winners" and "AI losers," and Lionsgate's stock has plummeted sharply due to concerns over the impact of new AI video models like Sora and Seedance.
The activist fund believes Lionsgate, with its vast library of 20,000 titles, could be an attractive acquisition target, but the studio has struggled to communicate this value to investors. Despite receiving informal interest from potential acquirers, Lionsgate has not engaged in substantive discussions, though it has been consulting at least two investment banks for strategic advice.
The company's shares have risen 36% this year, but have fallen 7% in the past month as doubts grow about its business model.
Written by urgent.news from Semafor's reporting — not their text. Machine-written — it may contain errors, so check the original before relying on it.
