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Netflix Enters Due Diligence on Potential Warner Bros. Discovery Bid

Warner Bros. Discovery is running a formal review after unsolicited interest, raising questions over price and antitrust.

Overview

  • Netflix has hired Moelis & Co to evaluate a possible offer for Warner Bros. Discovery and has secured access to the company’s data room, according to multiple reports.
  • Warner Bros. Discovery confirmed a strategic review in response to unsolicited approaches and indicated it is open to a sale.
  • No formal bid from Netflix has been announced as the assessment remains exploratory.
  • A successful deal would hand Netflix control of marquee assets such as Harry Potter, the DC universe, Friends, and HBO with its streaming service.
  • Analysts estimate a potential price of $40 billion to $60 billion and anticipate rigorous U.S. and European antitrust scrutiny.