Icahn Extends Lions Gate Buyout Offer To May 21, 2010

Billionaire shareholder Carl Icahn said Monday that he is extending his buyout bid for Lions Gate Entertainment Corp. (LGF) to May 21.

CNW Group: Mr. Icahn [who controls nearly 19% of Lions Gate’s shares] also announced that the British Columbia Court of Appeal on Friday dismissed Lions Gate’s appeal of the “cease trade order” issued by the British Columbia Securities Commission (BCSC) with respect to the Poison Pill adopted by Lions Gate’s board of directors [Lions Gate board has characterized Mr. Icahn’s $7 per/share offer as “financially inadequate, coercive and opportunistic”]. Mr. Icahn reacted to the decision by commenting: “We applaud the Court’s decision affirming the removal of the Poison Pill. I am gratified to see that the Court and the BCSC agreed with our view that Lions Gate shareholders should have the right to decide for themselves whether to sell their shares in our tender offer. We commend the Court for its thoughtful consideration and resolution of this important issue.”

Canada-based Lions Gate had urged shareholders not to accept Icahn’s offer $7 per share offer, an increase from his previous $6-per-share bid, saying it’s too low.

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