Warner Bros Discovery Favors Paramount Bid Over Netflix
Warner Bros Discovery labeled Paramount's revised offer superior to its deal with Netflix. The streaming giant has four business days to respond or walk away.
The bidding war for Warner Bros. Discovery, Inc. has reached a pivotal moment as the company declared a revised $31-per-share offer from Paramount Skydance Corporation Class B Common Stock to be superior to its existing agreement with Netflix, Inc.. Under the terms of the current merger agreement, Netflix now has four business days to respond with a counter-proposal or allow the studio to proceed with the Paramount Skydance deal.
The competing bids offer distinct financial paths for the studio's future. Paramount Skydance has proposed an all-cash tender offer of $31.00 per share, which includes a ticking fee of 25 cents per share for every quarter the deal remains unclosed after September 30, 2026. This bid represents a 147% premium over the undisturbed stock price of Warner Bros. Discovery as of September 10. Netflix’s offer stands at $27.75 per share in cash, representing a 121.3% premium.
