Last week, Netflix revealed an $82.7 billion deal to acquire Warner Bros. Discovery and carve out a monumental corner of the media streaming empire. Now, Paramount has clapped back with a hostile bid, slamming Netflix and claiming that it had offered an ‘inferior proposal’ for WBD.
Paramount’s representatives have promised a tender offer of $30 per share, compared to Netflix’s $27.75 offer. It’s also a bid to avoid splitting up Warner Bros. Discovery, which is what the Netflix acquisition would do. If Paramount is successful, it’ll acquire WBD in its entirety.
Will Paramount or Netflix Buy Warner Bros. Discovery?
In a post from The Hollywood Reporter, it was confirmed that Paramount had filed a hostile proposal in the wake of Netflix’s revelation in the WBD arena. In a statement, David Ellison, the CEO of Paramount, explained:
WBD shareholders deserve an opportunity to consider our superior all-cash offer for their shares in the entire company.
Our public offer, which is on the same terms we provided to the Warner Bros. Discovery Board of Directors in private, provides superior value, and a more certain and quicker path to completion. We believe the WBD Board of Directors is pursuing an inferior proposal which exposes shareholders to a mix of cash and stock, an uncertain future trading value of the Global Networks linear cable business and a challenging regulatory approval process.
We are taking our offer directly to shareholders to give them the opportunity to act in their own best interests and maximize the value of their shares.
The Hollywood Reporter anticipates a lengthy process to follow, with Paramount and Netflix lobbying and counter-lobbying for the acquisition rights of Warner Bros. Discovery.
In a strange twist, it was later revealed that Paramount published a website dubbed ‘StrongerHollywood’, aimed at rubbing Netflix the wrong way and proving that Paramount’s offer is much more worthwhile for the wider industry.
Whichever media titan is successful, they’ll gain ownership of Warner Bros.’ gaming studios, including the likes of Avalanche, NetherRealm, Rocksteady, and TT Games, as well as the WB Games branches.
What are your predictions regarding the Warner Bros. Discovery buyout? Let us know on the Insider Gaming Discord server.
For more Insider Gaming coverage, check out the news that Hideo Kojima has doubts about OD
Grant has been gaming for 30+ years and in the industry for 10+. You'll probably find him playing a post-apocalyptic game or an extraction shooter somewhere.
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