Paramount Skydance is set to take over Warner Bros Discovery after Netflix decided to drop out.
Netflix said that matching Paramount’s higher offer didn’t make sense financially, leaving the $111 billion deal open for Paramount.
Warner Bros shared that Paramount’s bid was better, giving Paramount control of the studio, its movies and networks like HBO Max and CNN.
The deal, however, would also fold Warner Bros’ streaming and traditional channels into Paramount’s portfolio.
Paramount offered $31 per share in cash, plus extra payments if the deal falls apart or to cover costs from the Netflix deal.
The sale still needs approval from US and European regulators as California’s Attorney General said that the deal is not final and will be reviewed closely.
Paramount is backed by tech billionaire Larry Ellison and run by his son David. Moreover, some people are watching closely because of the company’s political connections, including ties to former President Donald Trump, raising questions about CNN’s future.
This takeover is a huge moment in Hollywood and if it goes through, it could change movies, streaming, networks and even staff at Warner Bros, reshaping the media world in big ways.
