Overview
- Warner Bros. Discovery's board again urged shareholders to reject Paramount Skydance's $30-per-share all-cash offer and reaffirmed its agreement with Netflix.
- Paramount Skydance told a House Judiciary antitrust panel that the Netflix-WBD combination is "presumptively unlawful," signaling a strategy that includes political pressure and potential litigation.
- Regulatory filings show the Justice Department has opened a review of the Netflix agreement and is also assessing Paramount's competing proposal.
- Paramount emphasized deal certainty by highlighting Larry Ellison's irrevocable personal guarantee for the equity portion and backing from Bank of America, Citibank, and Apollo.
- Netflix shares are down about one-third since June, including a 12.9% decline in December, reflecting concerns over cost, debt, dilution, and regulatory risk; the Netflix deal includes a $5.8 billion breakup fee if it collapses.