Form 4: Harry Sloan Reports Changes in Beneficial Ownership Following Lionsgate Split

Harry Sloan, a director of Starz Entertainment Corp, reports the exchange of shares following the completion of the Lionsgate Studios Corp split on May 6, 2025.

Summary

• On May 6, 2025, Harry Sloan, a director of Starz Entertainment Corp, reported changes in beneficial ownership due to the completion of transactions related to the Arrangement Agreement dated January 29, 2025, and amended on March 12, 2025.
• The transactions involved the split of Lionsgate Studios Corp.
• Sloan's Class A and Class B common shares were exchanged for New Lionsgate common shares and Starz common shares.
• Equity awards held by employees, service providers, and directors were converted into awards of either New Lionsgate or Starz, depending on their future roles within the new corporate structure.
• The conversion of equity awards was designed to maintain the aggregate fair market value of the awards.

Sentiment

Score: 7

Explanation: The document is a standard regulatory filing detailing a pre-planned corporate action. The sentiment is neutral as it simply reports the execution of a previously announced agreement.

Future Outlook

The document does not contain specific forward-looking statements beyond the completion of the described transactions.

Industry Context

This announcement reflects a corporate restructuring and spin-off, a common strategy in the entertainment industry to unlock value and focus on core business segments. Similar restructurings have been undertaken by companies like ViacomCBS (now Paramount Global) and Time Warner (now Warner Bros. Discovery).

Comparison to Industry Standards

• Corporate spin-offs are a common strategy in the media and entertainment industry, often aimed at improving focus and unlocking shareholder value.
• Similar to the Lionsgate split, companies like Paramount Global (formerly ViacomCBS) have separated their entertainment and cable TV assets.
• The preservation of equity award value during such transactions is a standard practice to retain key personnel.
• The Lionsgate transaction appears to follow industry norms for corporate restructuring and equity compensation adjustments.

Stakeholder Impact

• Shareholders are impacted by the exchange of shares and the creation of two separate entities.
• Employees and service providers are affected by the conversion of equity awards to either New Lionsgate or Starz awards.
• Directors who serve on both New Lionsgate and Starz boards have their equity awards partially converted to reflect their roles in both companies.

Key Dates

Keywords

Starz Entertainment Corp, Lionsgate, beneficial ownership, Form 4, share exchange, equity awards, director, Sloan, New Lionsgate