
Paramount will keep WBD
Warner Bros. Discovery said Thursday the 26th that the offer submitted this week by Paramount Skydance, valued at US$31 per share in cash, is superior to the agreement it had in place with Netflix, triggering a four-business-day period for the latter to submit a counteroffer.
However, there was no need to wait those four business days, as Netflix announced it would not submit a higher bid for WBD after the company’s board of directors deemed Paramount Skydance’s latest proposal “superior.”
This development leaves Paramount Skydance, led by David Ellison, as the sole bidder and in a position to take control of the media giant.
Paramount’s offer is for the entire company, while Netflix had sought to acquire only its streaming service, the HBO cable channel, and its film studio business.
“The transaction we negotiated would have created shareholder value with a clear path to regulatory approval,” Netflix said in a statement Thursday afternoon. “However, we have always been disciplined, and at the price required to match Paramount Skydance’s latest offer, the deal is no longer financially attractive, so we have decided not to match the bid.”
Paramount Skydance’s proposal includes a payment of US$31 per share in cash to WBD shareholders, plus a cumulative fee of US$0.25 per share per quarter starting September 30, 2026. It also includes a US$7 billion regulatory termination fee in the event the transaction does not close due to regulatory reasons, in addition to the US$2.8 billion penalty WBD must pay Netflix to terminate the previous agreement.
WBD elige propuesta de Paramount Skydance y Netflix sale de la ecuación
Warner Bros. Discovery deseada por Paramount Skydance, Comcast NBCUniversal y Netflix