Overview
- Paramount Skydance raised its proposal to $31 per share for all of WBD and added protections including a $7 billion regulatory reverse‑termination fee, reimbursement of WBD’s $2.8 billion breakup fee to Netflix, and a $0.25‑per‑share quarterly ticking fee starting after Sept. 30.
- WBD said the revised offer “could reasonably be expected” to lead to a superior proposal but has not made that determination, and it continues to recommend the existing Netflix agreement.
- Under the Netflix merger contract, a superior‑offer finding would give Netflix four business days to respond or revise its bid.
- The rival bids differ in scope: Paramount seeks the entire company, while Netflix agreed to buy the studios and streaming assets with the cable networks slated for a Discovery Global spinoff; Paramount’s financing is backed by Larry Ellison.
- Regulatory scrutiny remains a major hurdle as the DOJ broadens its antitrust review and international reviews continue; activist investor Ancora helped spur WBD’s re‑engagement with Paramount, and a March 20 shareholder vote on the Netflix deal is still scheduled.