Billionaire Carl Icahn has agreed to sell all of his holdings in Lionsgate Entertainment, ending his three-year attempt to take over the film and television studio, reports the Los Angeles Times’ Company Town blog.
In what the article calls a "significant victory" for Lionsgate Chief Executive Jon Feltheimer and Vice Chairman Michael Burns, Icahn and his son, Brett, will sell 44.2 million shares, representing their 33.2% stake in the company.
Both parties will drop their outstanding litigation against each other, the story notes. Lionsgate is known for TV shows such as "Mad Men," as well as films including the Tyler Perry pictures.
The reason for Icahn’s decision may lie in Lionsgate’s stock price, the article points out. With the stock trading at more than $7 per share, Icahn decided it was too expensive to continue increasing his investment in an attempt to gain control of the company, the story says, citing a source familiar with Icahn’s thinking.