Starz Searching For Possible Buyer: Reports

(RTTNews) - Starz (STRZA) has reportedly retained an investment banking firm to seek a possible buyer for the company. The executives of the media and entertainment company also met their counterparts at 21st Century Fox Inc. (FOX) to discuss a possible merger, according to reports.

News reports say Starz executives met 21st Century Fox to strike a deal for the cable movie service company.

Starz CEO Chris Albrecht and investment bankers held discussion with Fox executives at the company's studio in Los Angeles, reported LA Times citing unnamed people familiar with the meeting. The companies have not reached any deal as yet.

The acquisition of Starz would ask for a price north of $3.2 billion based on Tuesday's closing price of $29.58. The reports suggested that Fox might also buy a stake in Starz instead of fully acquiring it or another company might take an interest in it.

A report from the Wall Street Journal indicated that Starz has retained boutique investment bank LionTree Advisors LLC to help in a search for possible buyer.

STRZA is currently trading at $31.01, up $1.43 or 4.83%, on the Nasdaq.