Summary
Affinity Partners, connected to President Trump's son-in-law Jared Kushner, has decided not to support Paramount's attempt to buy Warner Bros. Discovery. This happens as Warner Bros. is expected to say no to Paramount's $30-a-share offer. Paramount might need a better bid to win over Warner Bros.'s board.
Key Facts
- Affinity Partners, linked to Jared Kushner, has exited Paramount's bid for Warner Bros. Discovery.
- Warner Bros. is expected to reject Paramount's $30-a-share all-cash offer.
- Paramount's initial share offer started at $19, increasing to $30 in later bids.
- Approximately 60% of Paramount's latest bid funding came from foreign sovereign wealth funds.
- The Warner Bros. board has a deadline of December 22 to make a decision on Paramount's offer.
- Paramount had to ensure that Kushner's fund and foreign partners had no voting rights to avoid security concerns.
- Paramount may need to raise its offer above $30 per share to stay in the running.
- Shares of Oracle, associated with bid supporter Larry Ellison, have decreased by about 45% since September.
