Starz was not John Malone’s most successful investment. But it is perhaps the most symbolic.
The media mogul once controlled Starz as an independent company. In 2016 he merged it with Lionsgate, another company he owned. A year before the deal, Malone said he hoped the agreement would be the first of several.
“Lionsgate can buy Starz and other potential free radicals in the industry,” he said.
By “free radicals,” Malone means affordable media companies such as AMC Networks, controlled by the Dolan family, or A&E Networks, jointly owned by Hearst and Disney, which do not have the global reach to compete with Disney and Comcast.
NBCUniversal for original programming and A-list talent.
Even if these companies were allow to collapse, their merger would leave them with the burden of balance and leverage to increase the programming costs of pay-TV providers.
Malone’s vision never materialized. Lionsgate hasn’t made a significant acquisition since Starz, and its market cap has shrunk recently. Lionsgate’s current market value is just over $2 billion. In 2016, Lionsgate paid $4.4 billion for Starz. In addition, Malone is no longer a shareholder in Lionsgate and sold the remaining voting rights in 2019.
But even without Malone’s influence, and even amid a changing media and entertainment landscape, Startz could carry the torch of his vision. By “free radicals,” Malone is an affordable media company such as AMC Networks, controlled by the Dolan family, or A&E Networks, jointly owned by Hearst and Disney, which lacks the global reach to compete with Disney and Comcast Original’s NBCUniversal programming. And A- talent list.
Even if these companies were allow to collapse, their merger would leave them with the burden of balance and leverage to increase the programming costs of pay-TV providers.
Malone’s vision never materialized. Lionsgate hasn’t made a significant acquisition since Starz, and its market cap has shrunk recently. Lionsgate’s current market value is just over $2 billion. In 2016, Lionsgate paid $4.4 billion for Starz. In addition, Malone is no longer a shareholder in Lionsgate and sold the remaining voting rights in 2019.