Overview
- Directors unanimously rejected Paramount Skydance’s $108.4 billion hostile tender, calling it inadequate and accusing the bidder of misleading investors about a full Ellison family backstop.
- WBD reaffirmed its definitive $82.7 billion agreement to sell its studios, HBO and HBO Max to Netflix, which would follow a planned spin‑off of cable networks into a separate company and requires regulatory approval.
- The board criticized Paramount’s reliance on a revocable Ellison trust and significant sovereign wealth funding, noting the recent withdrawal of Affinity Partners and highlighting risks to deal certainty and operations during a lengthy review.
- Netflix welcomed the decision and reiterated assurances that Warner Bros. films would keep theatrical windows and that the combination is pro‑consumer and pro‑creator, with a sizable termination fee signaling confidence in regulatory clearance.
- Paramount can continue soliciting tenders or raise its offer, but both pathways face intense antitrust and potential national‑security scrutiny from U.S. and international authorities, setting up a protracted shareholder and regulatory process.