Paramount Skydance has submitted a higher takeover offer for Warner Bros Discovery, escalating a bidding war with Netflix for control of one of Hollywood’s largest film and television studios, Reuters has reported, citing a source familiar with the matter.
The revised proposal improves on Paramount’s earlier all-cash offer of about $108.4 billion, or $30 per share, and is intended to address concerns over financing certainty raised by Warner Bros Discovery’s board, the source said.
The new bid seeks to challenge Warner Bros Discovery’s preferred agreement with Netflix, which offered roughly $82.7 billion, or $27.75 per share in cash, for the company’s studios and streaming assets.
The contest for the HBO Max owner has intensified as traditional media companies and streaming platforms compete for scale in a rapidly consolidating industry. Warner Bros Discovery’s portfolio includes major franchises such as Harry Potter and Game of Thrones, as well as a large film and television library.
Netflix has the right to match Paramount’s revised proposal, and analysts have said that a bid closer to $34 per share could potentially end the contest.
Warner Bros Discovery shareholders are expected to vote on Netflix’s offer on March 20, though any deal would still require regulatory approval in the United States and Europe.
STREAMING CONSOLIDATION
The bidding war reflects broader consolidation pressures across the global entertainment industry, where companies have been seeking scale to offset rising production costs and slowing subscriber growth.
Warner Bros Discovery was formed in 2022 through the merger of WarnerMedia and Discovery in a transaction valued at about $43 billion, creating one of the world’s largest media companies with assets spanning film studios, television networks and streaming services.
Since then, the company has faced investor pressure to improve profitability and reduce debt, prompting strategic reviews of its business and plans to spin off cable television assets into a separate entity.
Netflix, the world’s largest streaming service, has sought acquisitions to strengthen its content pipeline and global reach, while Paramount has pursued partnerships and mergers to compete with larger rivals, including Disney and YouTube.
Industry analysts say the outcome of the bidding contest could reshape the balance of power in the global streaming market, potentially creating either a dominant streaming platform under Netflix or a larger integrated studio under Paramount.
