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Netflix's All-Cash $27.75 Offer for Warner Bros. Discovery Wins Board Approval

Warner Bros. Discovery plans a special shareholder vote by April.

Overview

  • Netflix values the deal at roughly $83 billion and has suspended share buybacks to help fund the purchase after dropping plans to use stock.
  • Paramount-linked bidders, including Skydance, have floated a reported offer exceeding $100 billion that would include TV networks such as CNN, and Warner Bros. Discovery previously rejected the Ellison-led proposal.
  • Netflix reported more than 325 million paid subscribers, quarterly revenue of about $12.1 billion, and net income of $2.42 billion.
  • Netflix shares fell about 4–5% in after-hours trading and are down roughly 30% since initial takeover reports.
  • A regulatory filing shows the $27.75-per-share proposal received unanimous approval from the Warner Bros. Discovery board.