Skydance Paramount Bids for Warner Bros., Challenging Netflix's Prior Deal

Skydance Paramount's Bid for Warner Bros. Discovery

According to Главком: Skydance Paramount has made a new offer to acquire Warner Bros. Discovery, directly challenging Netflix, which already has a preliminary agreement in place. The Warner Bros. board of directors is currently recommending that shareholders approve the sale to Netflix at $27.75 per share. A shareholder vote on that deal is scheduled for March 20.

Paramount's latest bid proposes at least $31 per share for Warner Bros., which is $1 higher than its previous offer. However, Warner Bros. has stated that Paramount's proposal is not yet final. Following this news, Warner Bros. shares rose 2.5% in pre-market trading in New York, while Paramount's stock gained roughly 4%, and Netflix shares increased by less than 1%.

The State of the Deals

Paramount has been attempting to purchase Warner Bros. since September 2025. The company is prepared to cover the $2.8 billion Netflix would receive if its deal with Warner Bros. is terminated. Netflix has confirmed that its agreement with Warner Bros. remains valid. Under the terms of the Netflix deal, Warner Bros.' cable channels, including CNN and TNT, would be spun off into a new company called Discovery Global. Netflix has announced a definitive agreement to acquire Warner Bros., including HBO Max and HBO. The Netflix transaction is expected to close within 12-18 months, with the Discovery Global spin-off slated for completion in the third quarter of 2026.

U.S. President Donald Trump has expressed concern over the planned $72 billion Netflix deal, noting that its significant market share could become problematic.

Both Netflix and Warner Bros. have reached an agreement to transfer major franchises, such as 'Harry Potter' and 'Game of Thrones,' to Netflix's platform.

This bidding war highlights the intense consolidation happening in the media industry. The situation surrounding the potential acquisition of Warner Bros. by either Skydance Paramount or Netflix is growing increasingly tense, with shareholders facing a critical decision that will reshape the competitive landscape. The active negotiations among these industry giants signal a profound shift in media and entertainment, with long-term implications for both consumers and investors.