Warner Bros. Discovery (WBD), the broadcast home of AEW programming, previously announced an agreement to sell its studio assets and Max streaming business to Netflix, valued at $82.7 billion on an enterprise basis.
In response, Paramount submitted a bid to acquire WBD for $108 billion, which the network’s board dismissed due to concerns over the certainty and structure of the offer.
Paramount has since revised its proposal and reaffirmed its $30-per-share bid, which is a fully financed cash offer for 100 percent of the network.
This updated proposal addresses the funding questions raised by WBD’s directors and follows WBD’s endorsement of Netflix’s competing transaction, during which they recommended that shareholders reject Paramount’s earlier offer.
Larry Ellison, the founder of Oracle and controlling shareholder of Paramount, provided an irrevocable personal guarantee covering $40.4 billion of equity financing and related claims. Additionally, Paramount pledged not to alter or revoke assets held in the Ellison family trust during the negotiation process.
To support its claims, Paramount released documentation indicating that the trust holds approximately 1.16 billion Oracle shares. The company argues that this disclosure alleviates doubts regarding financing certainty. Furthermore, Paramount adjusted operational terms in its revised offer, providing greater flexibility concerning interim operations, debt refinancing, and representations. They also increased the regulatory reverse termination fee to $5.8 billion, aligning it with the protections Netflix’s structure provides.
One condition remains: Paramount requires WBD to retain full ownership of its Global Networks business, valuing that unit as “stub equity,” in contrast to the limited transparency over debt adjustments in Netflix’s proposal.
The tender offer deadline has been extended to January 21, 2026. As of December 19, fewer than 400,000 WBD shares had been tendered. David Ellison, Chairman and CEO of Paramount, continues to present the revised bid as superior in value and long-term strategy, urging shareholders to reconsider their options.
