Warner Bros considers new Paramount offer amidst ongoing Netflix negotiations

Warner Bros Discovery Receives Revised Takeover Offer from Paramount Skydance

Warner Bros Discovery has announced that it is reviewing a new takeover offer from Paramount Skydance Media. The company had previously received a revised proposal from the Skydance-owned firm after a seven-day window to renew talks with Warner expired on Monday.

Paramount confirmed that it had submitted its latest bid, but neither party disclosed further details about the proposal. The company’s offer is expected to be higher than its previous bid, which was widely anticipated.

Warner Bros Discovery has continued to recommend its competing proposal from Netflix to its shareholders in the meantime. The company had announced a deal with Netflix worth $72 billion in cash, or approximately $83 billion including debt, for Warner’s studio and streaming business.

The proposed acquisition would give Paramount control of Warner’s entire business, including networks such as CNN and Discovery. The company has maintained that its tender offer remains on the table while Warner evaluates its latest proposal.

Lawmakers and entertainment trade groups have expressed concerns about the potential impact of either buyout on the industry, citing the risk of job losses, reduced diversity in filmmaking, and increased costs for consumers. Regulatory bodies, including the US Department of Justice, are also reviewing the proposals and have initiated antitrust reviews.

Both Paramount and Netflix have argued that their proposals would benefit consumers and the wider industry. The companies have engaged in public regulatory arguments, with Paramount pointing to Netflix’s larger market value and arguing that its acquisition would increase dominance in the subscription video-on-demand space.

Source: Al Jazeera