- Paramount Skydance, led by CEO David Ellison, has launched a hostile $30-per-share bid for Warner Bros. Discovery (WBD).
- The all-cash offer is backstopped by the Ellison family, RedBird Capital and $54 billion of debt commitments from Bank of America, Citi and Apollo.
- Netflix agreed to buy WBD’s studio and HBO Max assets for $72 billion earlier; Paramount says keeping WBD whole best serves shareholders.
H2: Paramount Skydance goes hostile after Netflix deal
Paramount Skydance announced Monday it will go straight to Warner Bros. Discovery shareholders with an all-cash $30-per-share hostile offer after losing a months-long bidding fight over WBD assets. CEO David Ellison told CNBC, “We’re really here to finish what we started,” saying his prior bid to the WBD board received no response.
The move follows Netflix’s December deal to acquire WBD’s film studio and HBO Max streaming service for about $72 billion. Netflix’s transaction did not include WBD’s linear TV networks such as CNN and TNT Sports, which Paramount previously sought as part of a bid to buy WBD in full.
H3: Financing details and market reaction
Paramount’s offer is backstopped by equity commitments from the Ellison family and RedBird Capital, plus $54 billion in debt commitments from Bank of America, Citi and Apollo Global Management. Paramount said the package would allow a quicker regulatory path compared with Netflix because of Paramount’s smaller scale and its ties with current U.S. political leadership.
In premarket trading after the announcement, Paramount shares rose roughly 5%, Warner Bros. Discovery shares climbed about 6% and Netflix shares ticked slightly lower.
H3: Regulatory risks and breakup fees
Netflix’s proposed acquisition has already drawn regulatory scrutiny, with U.S. officials — including the Trump administration — signaling skepticism about the deal’s impact on streaming competition. Netflix agreed in its deal documents to pay Warner Bros. Discovery $5.8 billion if regulators block its transaction. Warner Bros. Discovery faces a $2.8 billion breakup fee if it opts to terminate the Netflix agreement to pursue another merger.
Paramount executives have argued repeatedly that keeping Warner Bros. Discovery intact serves the best interests of WBD shareholders and claim their bid could face a shorter regulatory review due to Paramount’s relative size.
H2: What’s next
Paramount’s hostile approach shifts the battle to WBD shareholders and could trigger a contested proxy fight or takeover offer process. Warner Bros. Discovery’s board must now weigh Paramount’s renewed bid against the existing Netflix agreement and its potential regulatory hurdles.
Watch: David Ellison’s interview on CNBC’s Squawk on the Street for on-camera remarks and details — https://www.cnbc.com/live-tv/
This story is developing. Check back for updates as WBD and involved parties issue formal responses and regulators review the competing transactions.
Image Referance: https://www.cnbc.com/2025/12/08/paramount-skydance-hostile-bid-wbd-netflix.html
