Seems like Ichan is loosing the battle to not only win over Lionsgate board members but also buy Lionsgate debt and future slips…

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In a move that may put a damper on any takeover effort by Carl Icahn, Lionsgate is refinancing $66.6 million of its debt in a private deal.

Meanwhile, Icahn had not indicated Monday afternoon whether he would extend his offer to buy $350 million of the Lionsgate debt or allow it to expire.

In a Securities and Exchange Commission filing Monday, the mini-major disclosed that it had renegotiated with noteholders to exchange $66.6 million in existing notes due in 2025 for a new issue of the same bonds with two annual interest payments. The new notes have a lower conversion rate - $8.25 a share, compared with $14.28 - and mature three years later in 2015.

Lionsgate vice chairman Michael Burns told Daily Variety, “It’s a private transaction with two of our major bondholders on terms that are attractive to both sides.”

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