Paramount Skydance is not giving up on acquiring Warner Bros. Discovery simply but. The corporate has amended its $108 billion provide to incorporate Larry Ellison’s “irrevocable private assure” equaling $40.4 billion. Ellison is the founder or Oracle and a backer of Skydance, created by his son David Ellison, Paramount Skydance’s CEO.
On December 17, WBD formally beneficial shareholders reject Paramount’s provide. WBD had already accepted an $82.7 billion provide from Netflix, set to shut a while subsequent yr following regulatory approval. “[The board] has unanimously decided that the tender provide launched by Paramount Skydance on December 8, 2025 will not be in the very best pursuits of WBD and its shareholders and doesn’t meet the factors of a ‘Superior Proposal’ underneath the phrases of WBD’s merger settlement with Netflix introduced on December 5, 2025,” WBD said.
The Paramount deal included backing by sovereign wealth funds in locations like Saudi Arabia and Qatar. However the Ellisons beforehand mentioned that, if the opposite funders dropped out, they’d “backstop the complete quantity of the bid.” That wasn’t sufficient of a assure for WBD.
Now, Paramount has returned with the irrevocable private assure and an settlement that the senior Ellison will not “revoke” or “adversely switch” the Ellison household belief’s property whereas the transaction is pending. WBD had said {that a} private assure was the one repair to Paramount’s insufficient provide.
Paramount might need taken this step, however not with a smile on its face: “None of those issues, nor the demand for a private assure, have been raised by WBD or its advisors to Paramount within the 12-week interval main as much as WBD agreeing to the inferior transaction with Netflix, Inc.,” the corporate said about its up to date provide.
“Our $30 per share, absolutely financed all-cash provide was on December 4th, and continues to be, the superior possibility to maximise worth for WBD shareholders. Due to our dedication to funding and development, our acquisition shall be superior for all WBD stakeholders, as a catalyst for better content material manufacturing, better theatrical output, and extra client alternative,” David Ellison said. “We count on the board of administrators of WBD to take the required steps to safe this value-enhancing transaction and protect and strengthen an iconic Hollywood treasure for the long run.”
Paramount’s up to date provide additionally contains publishing the belief’s property, extra versatile transaction phrases and a rise from $5 billion to $5.8 billion of its “regulatory reverse termination payment” — in keeping with Netflix’s.
Paramount’s provide will expire on January 21, 2026.
