Liberty Media (NASDAQ:LMCA) is stepping up its efforts to gain control of satellite radio broadcaster Sirius XM Radio (NASDAQ:SIRI), according to regulatory papers filed Thursday.
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In filings with the Securities and Exchange Commission, the two companies continued a cat and mouse game as Liberty Media has fought recently for control of Sirius.
In May, the Federal Communications Commission rejected a bid by Liberty Media to take control of Sirius. Liberty Media, Sirius' largest shareholder, now wants the FCC to reconsider that decision and has taken action to support their position that they should control the smaller company.
Liberty Media said in its filing that it intends to convert half of the preferred stock it owns in Sirius into common shares, which would give Liberty a total of 32% of the common stock. Liberty Media also said it will move “as soon as practicable” to take control of the satellite-radio broadcaster's board.
Sirius countered with its own filing Thursday afternoon, stating that it had been “engaged in discussions” with Liberty Media “to explore possible transactions with respect to its ownership interest in Sirius.”
But Sirius stressed that no agreement has been reached “with respect to a specific transaction that would be mutually beneficial to both our common and preferred stockholders.”
In addition, Sirius stated: “There is no assurance that these discussions will result in any specific action or transaction. We do not expect to disclose developments with respect to these discussions.”
Liberty Media’s shares rose $1.28, or 1.53%, to $84.98. Sirius’ shares rose 1 cent, or 0.53% to $1.90.