Lions Gate Signs Merger Agreement With Artisan Entertainment
Posted on November 14, 2003
Lions Gate Entertainment, an independent motion picture and entertainment company, and Artisan Entertainment, a privately-held motion picture and entertainment company, announced that they have entered into a definitive agreement under which Artisan will merge into Lions Gate for a purchase price of $160 million in cash plus assumption of Artisan debt. The deal is expected to be completed by calendar year-end.
"Lions Gate and Artisan have complementary strengths and are a superb strategic fit," said Lions Gate Chief Executive Officer Jon Feltheimer. "Together, the combined entity will be a powerful force in all aspects of filmed entertainment production and distribution and will benefit from the largest library in the history of independent entertainment. Amir and his team have built a great company with a healthy balance sheet and a strong presence in motion pictures, home entertainment and family entertainment, providing us with great opportunities for achieving economies of scale and extending our brand equity. This transaction culminates the first phase of the business plan Michael Burns and I established, with our Board, for our shareholders three and a half years ago."
Lions Gate hits include Monster's Ball, "O," American Psycho, Shadow Of The Vampire, Gods and Monsters, Affliction and The Red Violin. Recent films include Cabin Fever, House Of 1000 Corpses, Confidence, Girl With A Pearl Earring, The Cooler and Shattered Glass. For 2004, Lions Gate films include the contemporary cloning thriller Godsend, starring two-time Academy Award winner Robert DeNiro, Greg Kinnear and Rebecca Romijn-Stamos, the futuristic The Final Cut, starring Robin Williams, Mira Sorvino and Jim Caviezel, the Cannes Film Festival sensation Dogville, starring Nicole Kidman, and the just-completed The Cookout, with Queen Latifah.
Lions Gate Television boasts two series that achieved basic cable television ratings records in their debuts, The Dead Zone on USA Networks and 1-800-Missing on The Lifetime Channel. Lions Gate Home Entertainment distributes approximately 100 titles a year. Lions Gate is also the majority owner of CinemaNow, a provider of feature films via the Internet, operates state-of-the-art studio facilities in Vancouver, British Columbia and, through its Montreal-based strategic partner CineGroupe, runs an independent animation company.
Artisan Entertainment's 2004 line-up kicks off with the February release of Dirty Dancing: Havana Nights (in conjunction with Miramax Films), which re-imagines the 1987 film and stars newcomers Diego Luna and Romola Garai. March will feature the release of the dark comedy Eulogy starring Emmy Award-winner Ray Romano (Everybody Loves Raymond) as well as the drama I Am David starring Jim Caviezel. The launch of The Punisher, inspired by the cult favorite Marvel superhero, will arrive into theaters April 16 with a cast led by Thomas Jane in the title role, John Travolta and Rebecca Romijn-Stamos. Another Marvel character-inspired project, the August 27 release of the horror thriller Man-Thing, will highlight Artisan's summer offerings. In Fall 2004, the romantic period drama Compleat Female Stage Beauty starring Billy Crudup, Claire Danes and Rupert Everett, will hit the big screen.
Artisan has a library of more than 6,700 titles developed through original productions, strategic acquisitions of libraries such as Republic Pictures, Vestron and Carolco, and production and distribution agreements with respected entities like Marvel Entertainment and Showtime Networks. Artisan's catalog includes a mix of Academy Award-winning classics, action adventure blockbusters, cult classics and comedies, including: The Blair Witch Project, Terminator 2, Dirty Dancing, Reservoir Dogs, Basic Instinct, Total Recall, On Golden Pond, It's A Wonderful Life, Requiem For A Dream and National Lampoon's Van Wilder.