In a play to further global relationships, Lions Gate Entertainment Corp. said on Tuesday it has reached an agreement with international cable company Liberty Global Plc. and TV network operator Discovery Communications Inc. that would see each take a 3.4% share in the TV, film and entertainment company. Liberty Global and Discovery will pay about $195 million each to purchase five million common shares of Lions Gate, and each will appoint a member to the board of directors. With operations in 14 countries, Liberty Global provides networks and platforms that connected 27 million customers subscribing to 57 million TV, broadband Internet and telephone services for the month ending September 30, according to a news release. Discovery’s cable networks reach nearly three billion subscribers in more than 220 countries. The 10 million overall shares will be acquired with funds affiliated with MHR Fund Management LLC, which will also appoint a board member. Lions Gate has recently inked an exclusive film deal with one of China’s largest online video platforms iQIYI, as well as formed a global TV distribution pact with Skydance Productions, the company behind “Mission: Impossible–Rogue Nation” and Netflix Inc.’s “Grace and Frankie.” Shares of Lions Gate are up more than 21% in the year to date, outperforming the S&P 500 index, which is up 0.6%.
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