Lions Gate off ered to sell Starz to CBS for US$5.5 bill ion

Lions Gates Entertainment offered to sell cable channel Starz to CBS Corp for US$ 5.5 billion after rebuffing a lower offer, two sources familiar with the matter told Reuters. The counter offer was made by the film studio behind the Hunger Games movies after CBS made an informal US$5 billion bid for the cable network, the sources said. CBS’S informal offer was made by Joseph Ianniello, the interim chief executive officer of CBS, about six weeks ago and Lions Gate Entertainment sought a higher valuation, the sources said. Both companies declined to comment. The approach underscores the scope of CBS’S ambitions to compete more aggressively in a world in which it is squeezed by deep-pocketed tech companies on one side and rapidly consolidating peers on the other. The news lands 12 days before a board meeting where it will review its options that is believed to include initiating merger discussions with Viacom Inc.