Netflix is ​​backing down from its bid to buy Warner Bros. Discovery, the studios, HBO and CNN are given to Ellison’s Paramount.

In a flurry of bids worth hundreds of billions of dollars, the bidding war for Warner Bros. has ended. Discovery. David Ellison’s Paramount will acquire Warner Bros. Discovery.

On Thursday, Warner Bros. Discovery Announce Paramount Skydance’s latest offer of $31 per share was a “great offer,” giving Netflix four business days to respond. Then Netflix said it wouldn’t raise $82.7 billion All cash offer For the old studio, and He will walk away from the deal.

“The deal we negotiated would have created shareholder value with a clear path to regulatory approval,” Netflix co-CEOs Ted Sarandos and Greg Peters said in a statement Thursday. “However, we have always been disciplined, and at the price required to match Paramount Skydance’s latest offer, the deal is no longer financially attractive, so we decline to match Paramount Skydance’s offer.”

Under the terms of the original deal, Warner Bros. Discovery paid a $2.8 billion termination fee to Netflix to terminate the existing agreement. Paramount’s renewed bid — backed by the world’s sixth-richest person, Oracle CEO and David Ellison’s father, Larry Ellison — includes paying that breakup fee.

The new deal will see Paramount, which Ellison’s Skydance Media company bought last year with heavy financial backing from his father, acquire Warner Bros. Television. Discovery as a whole, including its studios, HBO, its streaming service, its gaming and entertainment divisions, and linear television networks such as CNN, TBS, TNT, Discovery and HGTV.

Ellison, whose Paramount already owns major studios, entertainment and news companies, has warned of major job cuts. His ownership of CBS News has also sparked controversy, and is largely seen as a sympathetic shift toward the Trump administration, with reports critical of the administration. On the shelf Or face increased scrutiny from Ellison and CBS editor-in-chief, conservative agitator Barry Weiss. Larry Ellison is a major donor and supporter of President Trump.

Netflix has announced its intention Acquires WBD in December, giving away nearly $83 billion to its studios and streaming service alone. Despite several hostile takeover offers by Paramount, Warner Bros. Discovery reiterated to shareholders its belief that Netflix’s bid was superior to Paramount’s, which offered $108 billion for the entire company including its linear television networks. Paramount’s latest offer, at $31 a share, values ​​WBD at about $111 billion.

Paramount will assume about $33 billion in debt held by Warner Bros. Discovery, according to the deal. Larry Ellison, whose net worth is $201 billion, According to Bloombergagreed to provide additional equity to meet Paramount’s offer. Paramount’s market cap is about $12 billion.

The deal is also being financed at $57.5 billion Debt obligation From Bank of America Merrill Lynch, Citi and Apollo Global Management.

Netflix shares jumped as much as 10% in after-hours trading in New York. Paramount shares rose 4.5%.