Starz Entertainment Introduces Shareholder Rights Plan to Safeguard Investments

Starz Entertainment Introduces New Shareholder Rights Plan

Santa Monica, CA and Vancouver, BC - March 10, 2026
Starz Entertainment Corp. (NASDAQ: STRZ) has announced an important development that aims to enhance shareholder value and secure investor interests. The company's Board of Directors unanimously adopted a limited-duration shareholder protection rights agreement, also referred to as the Rights Plan. This agreement is effective immediately and is set to expire on March 10, 2027, although it can be extended or amended under certain conditions.

The Board believes that implementing this Rights Plan will allow Starz to pursue its long-term strategic objectives while safeguarding the interests of all shareholders. It applies equally to both existing and future shareholders, ensuring a fair treatment throughout.

The plan is specifically tailored to minimize the risk that individuals or groups might acquire a controlling interest in the company without providing adequate compensation to its shareholders. The Board emphasized that this Rights Plan is not intended to deter serious offers but serves as a protective measure for stakeholders.

Understanding the Rights Plan

Under this agreement, one right will be issued for each outstanding common share of Starz as of the record date, which is March 20, 2026. These rights will be distributed as dividends paid to current shareholders. In the event that new common shares are issued after this record date, the rights will accompany those shares.

The conditions for the rights to become exercisable include a significant acquisition of 17.5% or more of Starz's outstanding common shares by an individual or a group. Those who already own more than this threshold can retain their shares but cannot acquire additional shares that may activate the plan.

If activated, rights holders, other than the individual or group triggering the plan, will be entitled to purchase additional common shares at a 50% discount to the then-current market price. Alternatively, the company may opt to exchange each right for a single common share of the company.

This Rights Plan is similar to those established by various publicly traded companies, aiming to maintain a balanced and fair ownership structure while mitigating unsolicited takeover attempts.

About Starz Entertainment

Starz stands as the premier entertainment platform targeting women and underrepresented audiences. The brand offers a diverse programming mix, including groundbreaking original series and a wide selection of blockbuster films. With a clear commitment to quality content, Starz enhances viewer experiences and caters to discerning adult audiences.

In the ever-evolving landscape of streaming services, Starz has distinguished itself as a buddy in digital platforms and multi-channel video distributors. Backed by advanced technologies and robust data analytics, it aims to meet the modern viewer's needs through its innovative app, enhancing viewer engagement across the board.

For any inquiries, investors can reach out to Nilay Shah, while media representatives can contact Jennifer Minezaki for press-related questions.

Starz encourages investors and the public to remain informed, as the company continues to pursue its strategic goals while ensuring the best interests of its shareholders are upheld. Details regarding the Rights Plan are available on the U.S. SEC's EDGAR database and the Canadian Securities Administrators’ SEDAR+ system.

The Board of Starz emphasizes that they will continuously assess conditions and make decisions that best serve the company's and its investors' interests as they navigate future challenges and opportunities in the entertainment industry.