US EditionWarner Bros. Discovery signs merger agreement with Paramount Skydance
Paramount will pay $31 per share in cash, valuing Warner Bros. Discovery at $110 billion and aims to enhance streaming competitiveness after Netflix's exit, regulatory approval pending.
- On Friday, Warner Bros Discovery agreed to be acquired by Paramount Skydance in a $110 billion deal signed this morning after Netflix declined to match Paramount's $31-per-share offer, Warner Bros chief revenue and strategy officer Bruce Campbell said.
- Paramount pursued Warner Bros since late last year with a hostile campaign led by David Ellison, son of Larry Ellison, and pressured by activist investor Ancora Holdings.
- The deal includes about $29 billion in debt, and Paramount agreed to pay the $2.8 billion termination fee Warner Bros owes Netflix, while raising its regulatory-failure fee to $7 billion.
- Lawmakers warned the acquisition could reduce choices and raise prices, while cinema operators cautioned about job losses and fewer theatrical releases; California AG Bonta said the state is investigating and will be `vigorous` in its review.
- Reuters said EU antitrust approval is expected to be relatively straightforward with minor divestments likely, and the deal positions Paramount to combine HBO Max and Paramount+ to bolster streaming against Netflix.
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236 Articles
Paramount to buy Warner Bros Discovery in $110-B deal
Warner Bros Discovery WBD.O has agreed to be acquired by Paramount Skydance PSKY.O in a $110 billion deal, ending a high-stakes bidding war after Netflix walked away from its agreement with the HBO Max owner.
This merger could allow the acquirer to better position himself against Disney and Netflix in the hypercompetitive streaming sector, while the traditional business model of studios and television is weakening.
Paramount announces official merger agreement to acquire WBD
Paramount Skydance announced a merger agreement to acquire Warner Bros Discovery, just one day after Netflix threw in the towel. Paramount and Netflix were locked in a months-long heated bidding war over WBD, which had fallen into financial disrepair. A February bid from Paramount proved too much for Netflix, and it announced Thursday that it wouldn’t increase its bid, clearing the way for Paramount. Paramount and WBD announced their official me…
The Hollywood company Warner Bros. Discovery has agreed to the billion-dollar takeover by Paramount Skydance. Both companies announced that the agreement had been signed. The competitor Netflix had recently quit the bidding dispute.
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