Paramount Strengthens Takeover Bid for Warner Bros., New Details Emerge

In an effort to win the rights to Warner Bros. Discovery, Paramount has amended its hostile takeover bid, which includes a new guarantee from Larry Ellison.

What are the latest details in Paramount’s bid for Warner Bros.?

Earlier this month, Warner Bros. Discovery announced that Netflix had won the bid to acquire Warner Bros. The deal, which is worth approximately $82.7 billion, means that Netflix will control the Warner Bros. film and television studios as well as HBO and HBO Max.

If the deal is finalized, Netflix would control notable Warner Bros. properties, including DC, Harry Potter, Game of Thrones, Dune, and The Lord of the Rings. Netflix has said that it remains committed to Warner Bros.’ theatrical film slate, which includes DC projects Supergirl in 2026 and Man of Tomorrow in 2027.

Paramount Skydance Corporation is not going down without a fight. The company amended its hostile takeover bid on Monday to “address WBD’s stated concerns regarding Paramount’s superior offer.” The offer remains at $30 per share for all assets and liabilities of Warner Bros. Discovery. Paramount’s bid proposal is valued at $108 billion.

According to a Paramount press release, Larry Ellison, the founder of Oracle and controlling shareholder of Paramount, has agreed to “provide an irrevocable personal guarantee of $40.4 billion of the equity financing for the offer and any damages claims against Paramount.” Larry’s son, David Ellison, is the new CEO of Paramount Skydance.

Paramount also increased its breakup fee from $5 billion to $5.8 billion and extended the expiration date of the offer to January 21, 2026.

“Paramount has repeatedly demonstrated its commitment to acquiring WBD. Our $30 per share, fully financed all-cash offer was on December 4th, and continues to be, the superior option to maximize value for WBD shareholders,” David Ellison said in a statement. “We expect the board of directors of WBD to take the necessary steps to secure this value-enhancing transaction and preserve and strengthen an iconic Hollywood treasure for the future.”

Source: Comingsoon.net