Summary
Warner Bros Discovery rejected a takeover bid from Paramount Skydance, claiming the offer was misleading. Paramount promised financial backing from the Ellison family, but Warner Bros preferred Netflix's offer. Affinity Partners, linked to President Trump's family, withdrew from supporting Paramount's bid.
Key Facts
- Warner Bros Discovery turned down Paramount Skydance’s $108.4 billion takeover bid.
- Warner Bros accused Paramount of misleading information about financial backing.
- Paramount claimed financial support from Larry Ellison’s family, but Warner Bros found the offer risky.
- Netflix offered $27.75 per share, and Warner Bros favored this deal because it required no additional financing.
- Affinity Partners, connected to President Trump’s family, pulled out of funding Paramount’s bid.
- Warner Bros expects a shareholder vote on the deal in spring or early summer.
- Paramount said it secured $41 billion in equity and $54 billion in debt to support its bid.
- Warner Bros emphasized confidence in Netflix’s merger (buying the company) agreement with strong commitments.
