Paramount grabs Netflix and delivers hostile punch to Warner Bros
Paramount makes hostile bid for Warner Bro.
Last week, Netflix announced with great satisfaction that it had news: it had entered into a definitive agreement with Warner Bros. Discovery, under which Netflix would acquire Warner Bros. Discovery, including the film and television studios, HBO Max, and HBO.Netflix wrote: “The cash and stock transaction is valued at $27.75 per WBD share (subject to a collar as described below), with a total enterprise value of approximately $82.7 billion (equity value of $72.0 billion). The transaction is expected to close following the previously announced spin-off of WWBD’sGlobal Networks division, Discovery Global, in a new public company, now expected to be completed in the third quarter of 2026.”
Netflix already has an agreement.
The question is whether that will still happen, because Paramount is proposing an amount of 108 billion dollars—a significantly higher offer than the $83 billion that Netflix put on the table. However, there is already an agreement with Netflix, so the question is whether Warner Bros can avoid doing business with Paramount. At least if it’s just about money, there may be other reasons why Warner joined forces with Netflix. In any case, Paramount seems to want to prevent such a major streaming service and film studios (plus popular franchises such as Game of Thrones, Harry Potter, Batman and Sex and the City) from going to Netflix with the offer. The further ins and outs are still unknown, but it is clear: the battle for Warner is not over yet.