Paramount Skydance, Comcast and Netflix formally submitted takeover affords for Warner Bros. Discovery this week forward of a deadline for first-round affords, in keeping with folks accustomed to the matter.
Comcast, the mother or father firm of NBCUniversal, bid solely for the movie and streaming belongings, which consists of the Warner Bros. studio and HBO Max, the folks stated. The supply would see NBCUniversal change into the mother or father of the WBD belongings, one of many folks stated, and wouldn’t contain a spinout of NBCUniversal as some within the business had speculated.
Comcast is at present within the strategy of spinning out its portfolio of cable networks, which incorporates CNBC, however will retain NBCUniversal. As of January, that enterprise unit will consist solely of the printed community NBC, streaming service Peacock, Common movie studio and theme parks.
Comcast’s supply included a clause that may enable WBD to spin out its personal cable networks, together with CNN and TNT Sports activities, at any level earlier than the proposed acquisition closes, the individual stated.
Comcast President and soon-to-be co-CEO Mike Cavanagh lately telegraphed in an earnings name that an acquisition of studio and streaming belongings can be complementary to NBCUniversal. Cavanagh additionally stated the corporate believes a deal can be “viable” within the context of the present regulatory atmosphere.
Like Comcast, Netflix, additionally bid solely for the movie and streaming belongings, in keeping with the folks acquainted.
In the meantime, Paramount Skydance as soon as once more submitted, its fourth so far. In current days, Paramount Skydance and its advisors had been weighing whether or not to submit a better bid than its earlier $23.50-per-share supply that WBD rejected, a number of the folks stated.
Netflix’s supply was anticipated to be “disciplined” with its bid, one of many folks stated. Particulars on the dimensions of all three affords weren’t instantly clear.
Warner Bros. Discovery alerted the bidders that it had acquired the affords and can be again in contact with them quickly, one of many folks stated.
Representatives for Warner Bros. Discovery, Paramount, Netflix and Comcast declined to remark.
Warner Bros. Discovery is aiming to have its sale course of wrapped up by mid- to late-December, CNBC beforehand reported. One other spherical of bids is anticipated to happen within the coming weeks, a number of the folks stated.
Final month Warner Bros. Discovery stated it was increasing a strategic overview of its enterprise to incorporate a possible sale — even because it carries on with a plan to separate into two separate entities: Warner Bros., made up of the movie studio and streaming platform, and Discovery World, which would come with the corporate’s pay TV networks.
Whereas Warner Bros. Discovery’s cut up has been underway, takeover curiosity from the newly merged Paramount Skydance led WBD CEO David Zaslav and high brass to divulge heart’s contents to a proper sale course of.
If a proposal for the studio and streaming belongings had been to achieve success, Discovery World would transfer ahead with its spinout and present WBD CFO Gunnar Wiedenfels would change into CEO.
The Warner Bros. brand is displayed on a water tower at Warner Bros. Studio on September 12, 2025 in Burbank, California.
Mario Tama | Getty Photos
Paramount has already despatched a number of letters to WBD’s board explaining why its supply of $23.50 per share for all of WBD’s belongings is in the very best curiosity of shareholders and the corporate itself.
WBD’s inventory gained 1% Friday to shut at $23.19 per share. The corporate’s share value has elevated greater than 20% since saying it was up on the market in October.
Paramount CEO David Ellison lately met with Saudi-backed sovereign funds about financing a possible transaction, though the conversations had been solely preliminary and Ellison and his father, Oracle co-founder Larry Ellison, are ready to totally finance a transaction, folks accustomed to the matter stated.
Whereas Paramount is inquisitive about a deal for the whole lot of WBD, the formal sale course of has opened up the potential for a purchaser for less than a part of the legacy media firm.
— CNBC’s David Faber contributed to this report.
Disclosure: Comcast is the mother or father firm of NBCUniversal, which owns CNBC. Versant would change into the brand new mother or father firm of CNBC upon Comcast’s deliberate spinoff of Versant.
