Live to Be Acquired by Richland, Gordon

Live Entertainment Inc. said it agreed to be acquired by the closely held Chicago-based investment group Richland, Gordon & Co. for at least $150 million in cash and assumed debt. Under terms of the transaction, holders of the film and video distributor’s Series B preferred stock would receive $10 a share in cash, plus accrued dividends. Holders of its common shares would receive $6 in cash. The companies declined to give an exact value for the transaction; nor would they say how much holders of Live’s Series C preferred shares would receive. They said Richland, Gordon would obtain $150 million in financing. Live, which had a loss of $3.03 million last year, said the transaction would recapitalize it and put it on firmer financial ground. Shares of Los Angeles-based Live rose 12.5 cents to close at $5.75 on Nasdaq.