Hollywood Seems Desperate for a Netflix Deal, but it Won’t Be Lionsgate

 Since its failed bid for Paramount, it seems that Hollywood news is desperate to tie Netflix to another merger deal. First there were rumors about Roku, and now it’s Lionsgate. Netflix, however, isn’t interested, as Brandon Blake, entertainment lawyer at Blake & Wang P.A., confirms.

                                                                       Brandon Blake

Stocks Surge on Merger Rumor

Lionsgate shares certainly benefited from the rumors, seeing a 14% uptick until Netflix shot down the speculation in a rather blunt release. Ironically, since its early 2025 separation from Starz, Lionsgate has been struggling to recover its momentum. That said, however, it has performed well as an independent studio on the stock market since the split. However, despite some big franchises and valuable IPs under its belt, it may have a scale problem if it’s hoping to compete with Hollywood’s giants. 


The question, of course, is if they need it. Especially when faced with Michael’s $1B performance and several major potential hits, including another Hunger Games installment, lined up for release later this year. 


                                                      Blake & Wang Law Firm 

A Willing Seller, A Less Willing Market

Lionsgate has been keen on finding the right buyer for a while now. However, price is usually the sticking point for the market. Some of the titles in their highly valuable library also have right-sharing or other entanglements, which could impact valuations. 


Perhaps the real question is why Hollywood is so keen to attach Netflix’s name to any merger rumor that comes floating across the table. We’ve seen it twice this week alone, with Netflix also connected to Roku before the Fox deal was confirmed. It’s been a long time since we’ve seen any merger talk from Netflix (bar the failed Paramount bid), and while the company seems to think they’re fine as is, open only to “unusual” or interesting offers, investors seem to feel that a new M&A announcement is what they need to reinvigorate themselves. Who’s right, who knows? But it looks like we’ll have to keep waiting to find out.


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