Warner Bros. Discovery rejects Paramount’s hostile offer, calls calls ‘fake’

Warner Bros. Discovery (WBD) The board of directors refused The $108 billion Hostile takeover attempt David Ellison of Paramount Skydance called the show “fake” and said Paramount had misled shareholders about its financing.

Saying she wanted to honor her Tentative agreement to sell to NetflixWBD’s board of directors wrote in a letter to shareholders that Paramount “consistently misled WBD shareholders that its proposed transaction had the full support of the Ellison family.”

“That did not happen and never happened,” the letter said.

WBD’s board said Paramount’s tender offer was still “inferior to the Netflix merger” and noted that Netflix’s $27.75-per-share offer for Warner Bros.’s Hollywood studios and streaming business “is a binding agreement with enforceable commitments, without the need for any equity financing and aggressive debt obligations.”

Netflix welcomed the move. “The Board of Directors of Warner Bros. Discovery has confirmed that the Netflix merger agreement is superior and that our acquisition is in the best interests of shareholders,” said Ted Sarandos, Netflix co-CEO. statement.

Backers of Paramount and Ellison, including his father, tech billionaire Larry Ellison, will review WBD’s rejection and decide whether to raise their offer. diverse Reports.