Warner Bros. agrees. Discovery on $110 billion Paramount merger

The Warner Bros. merger agreement became… Discovery and Paramount Skydance are now official. On Friday, the two companies Announced plans To merge into a massive media company that will combine WBD studio, linear channels, streaming service and gaming business into Paramount.

Although WBD initially signed the An agreement worth $83 billion To incorporate a portion of Warner Bros. With Netflix, Paramount continues With a hostile takeover bidfollowed by a series of performances. That persistence has paid off, as WBD has determined that Paramount’s “best and final” offer is “superior” to the Netflix deal. Thursday on Netflix He refused to match Paramount’s offerHe described it as “no longer financially attractive”.

Paramount and WBD say the boards of both companies have signed off on the deal. The companies expect it to close in the third quarter of 2026, subject to regulatory approval and shareholder approval. Under the agreement, Paramount will acquire WBD in a deal valued at $110 billion. Paramount also agreed to cover the $7 billion regulatory termination fee and $2.8 billion breakup fee owed to Netflix, which it has already paid. according to Bloomberg.

“Together, Paramount and WBD will provide greater choice to consumers through their leading streaming platforms with an exceptional portfolio of intellectual property that has produced popular franchises such as Game of Thrones, Mission Impossible, Harry Potter, Top Gun, DC Universe, and SpongeBob SquarePants“, the companies say in the press release.

Lawmakers and regulators are questioning the merger of Paramount and WBD. “A handful of billionaires allied with Trump are trying to control what you watch and charge you any price they want,” Senator Elizabeth Warren (D-Mass.) said in a statement. California Attorney General Rob Bonta Also beware That the agreement is not a “done deal,” and that the state Department of Justice will be “active” in its review of the merger.