Netflix is working on a revised bid for Warner Bros. Discovery, discussing making its offer entirely cash for the company’s studios and streaming businesses.
The move aims to speed up a sale process that could take months and has encountered opposition from politicians and from rival bidder Paramount Skydance.
Driving the news: Initially, Netflix’s $82.7 billion proposal included cash and stock for Warner Bros’ film and streaming divisions, while Paramount’s competing $108.4 billion bid was all cash and covered the entire company, including cable TV operations.
- Despite changes to Paramount’s bid – including $40 billion equity backing from Oracle co-founder Larry Ellison – Warner Bros.’ board still favors Netflix’s offer.
- Warner Bros.’ board believes Paramount’s bid relies on extensive debt financing, making the deal less secure and still inadequate.
Go deeper: The bidding contest between Paramount and Netflix is now one of Hollywood’s most closely followed takeovers, pitting two major players against each other for iconic content libraries.
- Warner Bros.’ assets include valuable franchises such as “Harry Potter,” “Game of Thrones,” “Friends,” the DC Comics universe, and classic films like “Casablanca” and “Citizen Kane.”
