Starz Entertainment Corp., formerly known as Lions Gate Entertainment Corporation, or simply Lionsgate, is a Canadian-American entertainment company currently headquartered in Santa Monica, California. Founded by Frank Giustra on July 10, 1997, it is/was domiciled and incorporated in Vancouver, British Columbia.
Prior to 2024, the then-named Lionsgate owned film and television studios under its own umbrella. It was spun-off into Lionsgate Studios on May 14, 2024, of which Starz owned 87% until its separation on May 7, 2025. The company trades on Nasdaq with the stock symbol STRZ.
History Formation
Lionsgate was formed in 1997 by Frank Giustra, whose $16 million investment was augmented by $40 million from investors including Keyur Patel and Yorkton Securities executives such as G. Scott Paterson. The company was named for the Lions Gate Bridge in Vancouver, British Columbia, Canada, highlighting the company's founding location. Giustra had recently retired as CEO from Yorkton, an investment bank, of which Paterson was then president. Giustra then merged Lionsgate with Toronto Stock Exchange–listed Beringer Gold Corp. (founded in 1986) to take the company public. Beringer's mining assets were soon sold off."Lionsgate" Lionsgate Investors () https://investors.lionsgate.com "Retrieved on May 23, 2012"
Lionsgate then began a series of acquisitions to enter the film industry, buying small production facilities and distributors, including, in 1997, Montreal-based Cinépix Film Properties (which became the present-day Lionsgate Films), and Peter Guber's Vancouver, British Columbia studios, North Shore Studios (which became known as Lions Gate Studios, until its sale in 2006) and Mandalay Television, which was acquired with a 4% Lionsgate stake provision for Gruber.
Early history In 1998, Lionsgate helped Guber form Mandalay Pictures with a 45% investment in Mandalay. Lionsgate followed that up with a June purchase of International Movie Group, Inc. (IMG), a bankrupt film distributor previously invested in by Guber and Yorktown Securities, for its film library. IMG's CEO Peter Strauss became President of Lions Gate Entertainment, Inc. (LGE), the American parent company for Lionsgate's U.S. interests. The Lions Gate Media subsidiary was also formed to produce for television.
Completing its first year of operation, Lionsgate had a revenue of $42.2 million with a loss of $397,000. The company share price dropped to a low of $1.40. This limited the corporation's ability to make acquisitions via stock swaps. Lionsgate instead made its next acquisition of Termite Art Productions, a reality-based television production company, for $2.75 million by issuing three convertible promissory notes. Giustra had the shareholders vote to move the company's public listing from the Toronto Stock Exchange to the American Stock Exchange, along with a two-for-one stock consolidation to qualify, for greater exposure that might boost share value.
In January 1999, Roman Doroniuk was named president and chief operating officer of Lionsgate, which led to the corporation's financial operations being moved in April to Doroniuk's offices in Toronto, Ontario while corporate headquarters remained in Vancouver, British Columbia. Lionsgate created US based Avalanche Films and acquired half of Sterling Home Entertainment, both in video sales. Again, Lionsgate registered losses in its second year of $9.3 million on revenues of $78.3 million with most of the losses from its stake in Mandalay Pictures. Thus in the summer, Lionsgate placed its studios up for sale with no buyers. Television operations were changed to non-network hourlong series over riskier network shows and ended its relationship with Mandalay Television. The corporation sought out more capital and cash with a filing of a preliminary prospectus for the sale of preferred stock and common stock warrants and a $13.4 million line of credit.
2000s expansion Additional acquisition funding arrived in January 2000 as a $33.1 million investment from an investor group that included Paul Allen, former Sony Pictures executive Jon Feltheimer, German broadcasting company Tele-Munchen, and SBS Broadcasting SA. This led to Feltheimer taking over as CEO from Giustra thus the passed over Doroniuk left the company. Feltheimer increased film making including several $1 million films at Avalanche. However, Federgreen still remains one of the major owners of the company and is extremely involved in the making of all their major movies. In June, Lionsgate acquired Trimark Holdings, Inc. for approximately $50 million in stock and cash including taking on $36 million in debt.
Lionsgate continued making acquisitions during the decade to boost distribution and its film library. On December 15, 2003, Lionsgate acquired Artisan Entertainment for $220 million. Following the acquisition, Lionsgate relocated from Marina del Rey to Artisan's headquarters in Santa Monica. In 2004, Erik Nelson reacquired Termite Art from Lionsgate, renaming it Creative Differences.
Lionsgate partnered with Panamax Films in 2005 to make movies for the Latino market which only produced two films. On April 13, 2005, Lionsgate spun off its Canadian distribution unit into a new distribution unit called Maple Pictures under the direction of two former Lionsgate executives, Brad Pelman and Laurie May."Market News" Lions Gate Forms Maple Pictures Spin Off marketnews.ca, Retrieved on July 20, 2013Lions Gate spins off Canadian distribution, production screendaily.com, Retrieved on July 20, 2013 On August 1, 2005, Lions Gate Entertainment acquired the entire library of Modern Entertainment, the U.S. film division of the Swedish television company Modern Times Group."Indiantelevision.com" Lions Gate Entertainment acquires movies from Modern Entertainment indiantelevision.com, Retrieved on June 14, 2012 On October 17, 2005, Lionsgate acquired UK company Redbus Film Distribution for $35 million and became Lionsgate UK on February 23, 2006."Screen Daily" Redbus rebranded as Lionsgate UK screendaily.com, Retrieved on June 15, 2012"Variety" Redbus now Lionsgate variety.com, Retrieved on June 15, 2012
On March 15, 2006, Lionsgate sold Lions Gate Studios to Bosa Development Corporation. On July 12, Lionsgate purchased Debmar-Mercury, an independent television distributor, which has continued operations as a Lionsgate subsidiary. The company agreed in August to lease terms with New Mexico State Land Office and the city of Rio Rancho for a new 52.8 acres studio near Rio Rancho's under construction city center and arena.
On July 26, 2007, Lionsgate bought a partial stake in independent film distribution company Roadside Attractions. Lionsgate started up Lionsgate Music by June 2007. On September 10, 2007, Lionsgate bought Mandate Pictures for $56.3 million, $44.3 million in cash and $12 million in stock, and taking on $6.6 million of Mandate's debt. Mandate Chief Executive Joe Drake returned to the company as co-chief operating officer of its film unit.
By July 2008, Lionsgate has not made any progress on building its new film studio in Rio Rancho or on setting up the corporation to run the studio per its agreement with New Mexico. In November, Lionsgate Music established a joint venture with music publishing company Wind-up Records.
In January 2009, Lionsgate purchased TV Guide Network and TVGuide.com from Rovi for $255 million cash. In May 2009, Lionsgate sold a 49% stake in TV Guide Network and website to One Equity Partners under pressure from shareholder Carl Icahn.
Lionsgate cut back its slate of films per year by four in February 2009. In April, Relativity Media signed with Lionsgate for a 5 picture per year multi-year film distribution. In August, Lionsgate signed with Redbox for a five-year same day release deal worth $158 million. Lionsgate, along with MGM and Paramount Pictures/Viacom, was also a co-owner of Epix, a pay TV movie channel which debuted on October 30.Epix Picks a Launch Date Gigaom October 13, 2009
2010s On September 13, 2010, Lionsgate and Televisa formed a joint venture, Pantelion Films, to produce for the next five years eight to 10 films a year targeted for the U.S. Latin American market.
Lionsgate sold off its Canadian distribution unit, Maple Pictures, in September 2011 to Alliance Films.
Lionsgate announced on January 13, 2012, that it had acquired Summit Entertainment, producers and distributors of the Twilight Saga films, for $412.5 million.It's Official: Lionsgate Has Acquired Summit Entertainment for $412.5 Million , ComingSoon.net, January 13, 2012. Retrieved January 13, 2012. The two companies have planned on merging since 2008.Waxman, Sharon, Lionsgate May Buy Summit , The Wrap, February 1, 2009. Retrieved August 22, 2010. On October 6, 2012, Lions Gate Entertainment announced that Brian Goldsmith became the co-COO of the company and joining co-COO Steve Beeks."Wall Street Cheat Sheet" Will Lions Gate Entertainment's Top Institutional Shareholders Support This Management Change? wallstcheatsheet.com, Retrieved on October 9, 2012 On November 18, 2012, Lionsgate announced it has passed over the $1 billion mark for the first time with the success of The Hunger Games and The Twilight Saga: Breaking Dawn – Part 2."Hollywood Deadline" Lionsgate Passes $1B Domestic For First Time Helped By Summit's Twilight Finale deadline.com, Retrieved on November 19, 2012
On December 23, 2013, Lionsgate announced they have crossed over $1 billion domestically and internationally for the second year in a row with the success of The Hunger Games: Catching Fire, Now You See Me, Instructions Not Included, and Kevin Hart: Let Me Explain.ANITA BUSCH "Deadline" 'Catching Fire,' 'Now You See Me' Drive Lionsgate To Become Billion Dollar Baby 2nd Year Running; Company Box Office Take To Date: $2.25 Billion Worldwide deadline.com, Retrieved on December 23, 2013"ComingSoon.net" Lionsgate crosses a Billion Dollars Both Domestically and Internationally comingsoon.net, Retrieved on December 23, 2013
On April 14, 2014, Comcast acquired the remaining stakes in Fearnet from Lionsgate and Sony Pictures Entertainment. On April 21, 2014, Lionsgate announced that they will merge its movie marketing operations. A few days later, on April 30, Lionsgate announced that the studios will expand into the gaming development.Lionsgate expanding into video games under Nerdist co-founder's lead Alexa Ray Corriea polygon.com April 30, 2014, Retrieved on July 2, 2014
In 2015, Lionsgate took over the distribution functions for CBS Films, the film division of CBS Corporation.
On February 11, 2015, John C. Malone swapped a 4.5% stake with 14.5% of the voting power in Starz Inc. for 3.4% of Lionsgate's shares while joining the company's board of directors.Lionsgate, Starz Swap Stock as John Malone Joins Board Brent Lang variety.com February 11, 2015, Retrieved on February 26, 2015 Fourteen days later, Starz CEO Chris Albrecht hinted a possible merger with Lionsgate.Starz CEO Albrecht Hints at Possible Merger With Lions Gate Jeff Berman thestreet.com February 25, 2015, Retrieved on February 26, 2015
On April 1, 2015, Lionsgate announced it has created its new label, Lionsgate Premiere. This new label will handle up to 15 releases a year, targeting young audiences at theaters and digital outlets. The new label, part of the company's diversification effort, will incorporate Lionsgate and Summit Entertainment titles (including the Step Up film series and the Red film series) and then specialize in "innovative multiplatform and other release strategies" to reach "affinity audiences with branded content and targeted marketing." Marketing and Research SVP Jean McDowell will handle marketing, with distribution to be run by Adam Sorensen, who currently manages Western Sales.