Warner Bros. Discovery is expected to turn down Paramount Skydance’s $108 billion takeover bid next week, according to sources. The board has repeatedly rejected Paramount’s offers, even after amendments intended to make the deal more attractive.
Paramount’s revised proposal included $30 per share in cash, backed by Oracle co‑founder Larry Ellison’s personal guarantee covering $40.4 billion of funding. The bid also increased the breakup fee to match terms of Warner Bros.’ existing Netflix agreement.
Despite these changes, Warner Bros. Discovery’s board believes the Netflix deal offers more certainty and better long-term conditions. Under that agreement, Netflix would acquire Warner Bros.’ studio and streaming assets for about $82.7 billion, while networks like CNN and TNT would be spun off into a separate company.
Insiders say the board has concerns about Paramount’s ability to handle Warner Bros.’ debt and complete the deal smoothly. Terminating the Netflix agreement would also incur a significant breakup fee.
If Warner Bros. formally rejects Paramount, the bidder may need to improve its offer or explore other options. For now, the board seems set on the Netflix path, prioritizing stability over a higher cash offer.
The upcoming decision will influence the future of Warner Bros. Discovery and Hollywood’s media landscape.
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