05:58 AM EDT, 05/03/2024 (MT Newswires) -- Lions Gate Entertainment (LGF.A, LGF.B) said late Thursday it signed an agreement with two of its subsidiaries, as well as certain holders of its 5.5% senior notes due 2029, to exchange about $383 million of the notes for new notes to be issued by Lions Gate Capital Holdings 1.

Lions Gate said the new notes will facilitate the full separation of its Studio Business and STARZ Business. The notes will bear interest at 5.5% per year and mature in 2029 but upon the businesses' separation, the notes will be part of the Studio Business capital structure with a 6% interest and extended maturity through 2030.

The transaction's completion remains subject to certain customary conditions, Lions Gate said.