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Delaware Judge Denies Paramount Bid to Fast-Track WBD Disclosure Suit

The ruling weakens Paramount’s pressure campaign, shifting attention to a possible all‑cash pivot from Netflix.

Overview

  • Vice Chancellor Morgan T. Zurn rejected Paramount Skydance’s request to expedite its lawsuit, finding no cognizable irreparable harm and noting Paramount was not misled as a shareholder.
  • Paramount’s $30‑per‑share all‑cash tender for all of WBD currently expires Jan. 21, though the company signaled it expects to extend the deadline after reporting low tenders in December.
  • WBD said it will provide fuller details on valuation and advisor fairness opinions in a Netflix merger proxy ahead of a shareholder vote expected in late spring or early summer.
  • Netflix is weighing a switch from its cash‑and‑stock offer to an all‑cash bid to simplify valuation and speed timing, as both bidders court regulators in the U.S. and Europe.
  • Paramount’s offer is backed by roughly $40.4 billion in a personal guarantee from Larry Ellison and substantial debt financing, while Netflix’s agreed deal for studios and streaming carries an $82.7 billion enterprise value and sizable termination fees.