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Paramount Goes Public With $30-Per-Share Cash Bid for All of Warner Bros. Discovery

The bid presents a higher-value, fully financed alternative to Netflix’s proposal.

Overview

  • Paramount offered $30 per share in cash for the entire Warner Bros. Discovery, valuing the company at $108.4 billion and explicitly including TV networks such as CNN.
  • Paramount said the proposal is backed by the Ellison family and RedBird Capital with $54 billion of committed debt from Bank of America, Citi and Apollo.
  • The offer is roughly $18 billion richer than Netflix’s earlier approach, which combined cash and Netflix stock and targeted only the studios and streaming assets including HBO.
  • CEO David Ellison urged WBD shareholders to consider the all-cash bid, criticized the board for pursuing a lower offer, and took the proposal directly to investors.
  • Unnamed sources said Warner Bros. Discovery recently rejected the same terms, while separate reporting notes antitrust concerns have been raised about a potential Netflix tie-up.