Paramount boosts offer
Paramount Skydance has increased its bid to acquire Warner Bros Discovery, potentially overtaking rival Netflix in the high-stakes Warner Bros sale. The media giant, which put itself up for sale last year, said Paramount would raise its offer by $1 per share, creating a proposal the Warner Bros board believes “could reasonably be expected to lead to a superior proposal.”
Talks with Warner Bros continue
Warner Bros confirmed it will hold further discussions before deciding whether to abandon its December deal with Netflix. Netflix, which has four days to respond with a counter-offer, has yet to comment. In a recent interview, co-chief executive Ted Sarandos described the bidding back-and-forth as “part of the process” and declined to speculate on a potential bidding war.
Paramount’s campaign to acquire Warner Bros
Backed by tech billionaire Larry Ellison and led by his son David, Paramount has been openly pursuing Warner Bros since last year in an effort to become a Hollywood powerhouse. While Warner Bros initially rejected these offers, it had agreed in December to sell its film and streaming divisions, including HBO, to Netflix for $27.75 per share, roughly $82bn (£61bn) including debt.
New terms sweeten the deal
Paramount has now formally offered $31 per share in cash, with extra payments if completion is delayed. The company would also pay $7bn if the deal fails and cover the $2.8bn fee Warner Bros agreed to pay Netflix should that merger collapse. Warner Bros said its board has yet to make a final determination.
Wider concerns and market reactions
Lawmakers have raised questions about both proposals, citing potential monopolies and the impact on the wider entertainment sector. Sarandos faced scrutiny in Washington this month over potential price increases and cinema futures. Additionally, the Ellison family’s ties to the Trump administration have drawn attention from Democrats.
Luke Stillman, managing director at US media consultancy Madison and Wall, suggested Warner Bros may be aiming to spark a bidding war, predicting the price could rise to $33 per share.
Also read: Trump flags concerns over Netflix-Warner Bros $72bn deal
For more videos and updates, check out our YouTube channel
