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Lions Gate sues billionaire Carl Icahn

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Lions Gate has sued billionaire Carl Icahn for “secretly plotting” to merge the film studio with Metro-Goldwyn-Mayer, according to Bloomberg. The lawsuit alleges that Icahn, Lions Gate’s largest shareholder, became aware that the studio was in negotiations in June with two other studios. Concerned that any deal would minimize his own control, Icahn is accused of making false public statements to stall any deal until he could position himself for a greater profit. “He wanted to postpone [a merger with MGM] until he could buy as much of both companies as he could and thus extract for himself as much of the value stemming from the merger as possible,” Lions Gate stated in its complaint. Icahn, who currently owns about 33 percent of Lions Gate, had sued the company in July.