Paramount Makes $108 Billion Hostile All-Cash Bid for Warner Bros. Discovery

Photo Credit: TopShere Media

Paramount announces an all-cash bid to acquire all outstanding shares of Warner Bros. Discovery after Netflix’s $83 billion offer to buy it last week.

On Friday, Netflix announced an $83 billion deal to buy a significant part of Warner Bros. Discovery in an agreement approved by the boards of both companies. Now, Paramount has bypassed the Warner Bros. Discovery board and approached shareholders with a “superior offer.”

Paramount presented an all-cash offer to pay $30 per share, valuing the company at around $108 billion, including debt. The company said it was going directly to shareholders because the Warner Bros. Discovery board is “pursuing an inferior proposal” that would lead to “a challenging regulatory approval process.”

Paramount’s offer is to buy all of Warner Bros. Discovery, including its movie studio, the HBO Max streaming service, and a portfolio of cable channels, which includes CNN. Notably, the cable channels are not part of the Netflix deal.

“We believe our offer will create a stronger Hollywood,” said David Ellison, Chairman and CEO of Paramount. “It is in the best interests of the creative community, consumers, and the movie theater industry.”

The Paramount offer for the entirety of Warner Bros. Discovery provides shareholders with $18 billion more in cash than the Netflix offer. Paramount says it is offering a decidedly superior alternative to the Netflix proposal, which “offers inferior and uncertain value” while exposing shareholders to a “protracted multi-jurisdictional regulatory clearance process with an uncertain outcome,” as well as a complex mix of equity and cash.

It’s worth pointing out that Paramount submitted six proposals over the course of 12 weeks, and Warner Bros. Discovery has not meaningfully engaged with any of them. Now, Paramount is taking the offer directly to shareholders.

Paramount’s offer comes amid concern about the outcome of a Netflix-Warner Bros. Discovery merger, which even President Trump has said “could be a problem.” Trump has also said he will be part of the approval process.

Link to the source article – https://www.digitalmusicnews.com/2025/12/08/paramount-hostile-bid-warner-bros-netflix/