CNBC reported that Paramount Skydance (hereafter Paramount), an American media and content company, has declared the initiation of a hostile takeover and merger (M&A) of Warner Bros. Discovery (hereafter Warner Bros.) and has begun making stock purchase offers to Warner Bros. shareholders.
According to the report, Paramount will offer to purchase the company’s stock for $30 per share in cash to major Warner Bros. shareholders. Netflix previously announced that it had signed a definitive agreement to acquire Warner Bros. for $72 billion. The acquisition price per share was $27.75. Paramount has been competing with Netflix over the acquisition of Warner Bros.
Citing anonymous sources, CNBC reported that Paramount’s proposed price of $30 per share is the same as the previously rejected offer made to Warner Bros. Paramount previously sent a letter to Warner Bros. warning that a Netflix acquisition would face potential regulatory challenges both in the US and abroad, preventing the merger from ultimately going through.