Warner Bros.’s board of directors rejected Paramount Skydance’s $108 million acquisition offer, reaffirming its support for the Netflix deal Discovery announced on December 5. Citing concerns about funding, risk, and additional costs, the board of directors said: message to shareholders “PSKY’s tender offer is still lower than the Netflix merger offer,” he said.
According to the WBD board of directors, the review process for Paramount’s latest proposal included an independent assessment by members and management as well as the opinions of financial and legal advisors. The letter said it believes there is no difference in regulatory risk between the Netflix deal and Paramount’s proposal.
The board noted that Paramount’s bid did not receive financial backing from billionaire Larry Ellison or his family. Ellison is the father of David Ellison, CEO of Paramount.
Chairman Samuel A. DiPiazza Jr. said in a statement: “This proposal once again fails to address the serious concerns we have consistently expressed to Paramount through our extensive communications and review of six previous proposals.” “We believe that the merger with Netflix will create greater value for our shareholders, and we look forward to realizing the attractive benefits of this combination.”
Netflix responded to Paramount offer
Netflix co-CEOs Ted Sarandos and Greg Peters also sent the following message: WBD message to investors On Wednesday, he acknowledged the board’s commitment to honor the agreement and explained why merging the streaming giants was the best plan. The company described the deal as “excellent”, noting its financial strength, risk mitigation and likelihood of regulatory approval.
Sarandos confirmed in a statement that the merger would prioritize film releases over premium television and Warner Bros. theatrical releases.
“This was a competitive process that resulted in better outcomes for consumers, creators, shareholders, and the entertainment industry,” Sarandos said in a statement.
The proposed acquisition by Paramount is valued at $108 million.
Netflix presentation Warner Bros. plans to acquire HBO my neighbor Work hbo maxThis contract is worth 82.7 billion dollars. Paramount is fighting for the deal. This was revealed on December 8. The company reportedly made a hostile takeover bid for Warner Bros. Discovery.
Netflix to acquire streaming giant HBO and Warner Bros. film studios in deal.” Streaming Division. Opening. Warner Bros. Discovery announced earlier this year that it would split into two companies. WBD plans to spin off the Discovery business in the third quarter of 2026.
Paramount’s proposed acquisition would have given Warner Bros. investors $30 per share, compared to Netflix’s $27.50 per share, which included $23.25 in cash and $4.50 per share of Netflix common stock, for a total of $108 billion. Unlike the Netflix deal, Paramount’s proposal includes Warner Bros. You purchase Discovery entirely in cash.
In a statement to investors, Paramount said its own proposal to acquire WBD (one of six) “will be made directly to WBD shareholders and the board of directors to pursue this clearly superior option.”
Netflix has proposed acquiring Warner Bros.
With the acquisition of Warner Bros., HBO, and HBO Max, Netflix will not only expand its catalog of shows and movies, but will also include already blockbuster movies like: strange things, Wednesday And squid gameOwned by Warner Bros. harry potterWe host HBO shows like Friends, Batman, Game of Thrones, and Legacies.
“Our mission has always been to entertain the world,” Sarandos said. from statementHe promised that the deal will give audiences “more of what they love and help define the next era of storytelling,”
Mr. Peters praised the longevity of WBD and the management team, saying: “Our global reach and proven business model allows us to bring the worlds they create to a broader audience, provide more choice to our members, attract more fans to our best-in-class streaming services, strengthen the entertainment industry as a whole, and create greater value for our shareholders.”
The biggest question most Netflix subscribers have is how this acquisition will affect the cost of their monthly subscription. it’s netflix Our Top Pick There are many streaming services available, but one of the few disadvantages mentioned in the reviews is that their premium plans are very expensive.
It’s too early to say what negative impact this will have on prices, but on streaming services. it has become more expensiveThis acquisition is unlikely to change that trend. It’s unclear whether Netflix plans to combine the two streaming apps into one service, but the company said the deal will “allow us to grow our plans, expand the viewing experience, and expand access to content for consumers.”
The deal values Warner Bros. to acquire Discovery Net’s debt at $72 billion and was unanimously approved by the boards of directors of both companies. Hopefully this will allow Netflix to expand its original production capabilities and invest in more original content. Netflix said it plans to keep Warner Bros. Current operations will continue and theatrical releases of films (such as Batman: Part 2) are expected to continue as normal.
Once the deal clears the regulatory hurdles, what happens next? “If this transaction receives regulatory approval, Netflix will solidify its position as a streaming giant by combining the power of HBO Max and the content studios behind it,” said Mike Proulx, vice president at Forrester. “This deal changes the course of the streaming wars and represents a fundamental shift for the entertainment industry.”
After Netflix’s first announcement, President Donald Trump are expressing concern Of the Netflix-Warner Bros. merger, he said, “It’s a huge market share. That could be a problem.” President Trump acknowledged that Sarandos recently met with Trump to push for a deal.
