Netflix has clarified that it is not looking to buy Lionsgate, the studio known for the “John Wick” and “Hunger Games” franchises. This comes after Lionsgate reportedly lost a bid to acquire Roku, which Fox Corp. secured.
While there’s been chatter about various media companies potentially having interest in Lionsgate, Netflix hasn’t officially indicated any desire to pursue that acquisition. According to a report from Semafor on Tuesday, Lionsgate’s stock saw an increase of nearly 11% during midday trading.
However, a Netflix spokesperson firmly stated that, “Netflix is not interested and has no intention of pursuing Lionsgate.”
In the backdrop, Netflix holds popular titles like “Stranger Things,” “Bridgerton,” and “The Crown.” The company appears to be exploring potential big deals, which would represent a notable change in its strategy, as it typically opts to grow organically rather than through significant acquisitions.
The representative from Netflix also mentioned that the streaming service had not made a formal bid for Roku, leaving some uncertainty regarding why this reported interest did not materialize into an actual offer.
Recently, Fox CEO Lachlan Murdoch announced the company’s intention to acquire Roku for approximately $22 billion. Analysts believe that if Netflix had attempted a similar arrangement, it could have faced stricter antitrust scrutiny than what looks to be in play for the Fox-Roku deal.
Fox Corp. is associated with News Corp., the parent company of The Post.
Netflix not only creates original content but also competes with major players like Disney+ and Comcast’s Peacock.
According to Semafor, Netflix didn’t meet the bid of $160 per share that Fox offered for Roku, which was looking for the highest possible bid.
Reflecting on past strategies, Netflix co-CEO Ted Sarandos described the company’s approach to mergers and acquisitions as “disciplined.” Back in February, Netflix turned down a heightened offer of $82.7 billion for Warner Bros. Discovery, losing a competitive bidding process to Paramount Skydance, which proposed $110 billion.
During an earnings call in April, Sarandos remarked that their pursuit of Warner Bros. Discovery taught them essential lessons about deal execution and initial integration.
