Overview
- Warner Bros. Discovery accepted Netflix’s offer valuing the assets at roughly $82.7–83 billion, with reporting also citing a per‑share mix of $23.25 in cash and $4.50 in Netflix stock equating to about $72 billion in total consideration.
- Under the structure, Netflix would take the studio business and streaming assets, while TV networks including CNN are slated to be spun off into a separate company called Discovery Global, with WBD indicating a mid‑2026 timeline for the carve‑out.
- Company leaders said regulatory approvals could take 12 to 18 months, and U.S. officials signaled skepticism, with media reporting a $5 billion breakup fee if authorities block the transaction.
- Netflix prevailed in a high‑profile bidding contest overseen by WBD leadership, outpacing Paramount under the Ellison family, and reporting indicates Paramount may still explore a direct appeal to WBD shareholders.
- Netflix executives said Warner films would continue to debut in cinemas with faster post‑theatrical streaming while hinting at potential discounts for HBO access, and a U.S. theater owners’ group voiced opposition to the deal.