The merger between Warner Bros Discovery (WBD) and Paramount Skydance has been officially announced, The Verge reported on Feb. 27.
The two companies signed a deal for Paramount to acquire WBD for $110 billion. If completed, the merger is expected to create one of the world’s largest media companies.
WBD had initially pursued an $83 billion merger with Netflix, but Paramount entered the contest with a hostile takeover attempt and additional offers. WBD judged Paramount’s “final offer” to be superior to Netflix’s. Netflix had previously withdrawn from the bidding for WBD.
If the merger goes through, Paramount will secure WBD’s key content assets, including HBO, CNN, Harry Potter and the DC Universe. Paramount also agreed to bear a $7 billion regulatory breakup fee and $2.8 billion in contract termination costs.
Paramount has undergone rapid change since it was acquired by Skydance last year. David Ellison (데이비드 엘리슨), the son of Oracle co-founder Larry Ellison and a close associate of President Donald Trump, took over as CEO and carried out a restructuring of CBS News.
Chi-gyu Hwang
delight@d-today.co.kr