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Warner Bros. Discovery Clarifies Zaslav Contract to Preserve Options in Sale or Reverse Spinoff

An SEC filing aligns executive incentives during the active review of bids.

Overview

  • WBD said CEO David Zaslav’s signing stock options will remain outstanding and eligible to vest and be exercised after Dec. 31, 2026 in a reverse spinoff or if a definitive change‑in‑control agreement is signed, excluding any standalone sale of Discovery Global.
  • If a qualifying change‑in‑control agreement is reached before Dec. 31, 2026 and the split has not been completed, Zaslav’s employment term would extend to Dec. 31, 2030.
  • The company clarified that internal restructurings needed to effect strategic alternatives will not constitute a change in control or trigger accelerated vesting, and it sent letters to other executives confirming a reverse spinoff will be treated the same as a separation under their contracts.
  • The board’s strategic review is evaluating transactions for the entire company or for Warner Bros. and Discovery Global separately, with nonbinding first‑round bids due Nov. 20 and a year‑end decision targeted.
  • Reported interest includes multiple bids from Paramount Skydance for all of WBD and exploratory work by Comcast and Netflix focused on the streaming and studios assets.