The American production group Paramount Sky Dance announced the signing of a final agreement to acquire its rival Warner Brothers Discovery, in a deal estimated to be worth about $110 billion (including debt), with an equity value of approximately $81 billion.
This deal represents the end of a fierce competition that lasted many months in the media and entertainment sector, especially after Netflix withdrew from the race on Thursday, as it refused to raise its previous offer, paving the way for Paramount Sky Dance to finalize the agreement.
The announcement concluded intense negotiations that lasted five months, leading to the formation of a giant entertainment entity that combines the most prominent assets in Hollywood and media, and its wide-reaching influence – along with its potential connections to President Donald Trump – will undergo significant regulatory and media scrutiny from the relevant authorities in the United States and Europe.
Under the terms of the agreement, Paramount will pay $31 in cash for each share of the outstanding Warner Brothers Discovery stock. If the completion of the deal is delayed beyond September 30, 2026, shareholders will receive a daily ticking fee of $0.25 per share for each quarter.
Both companies confirmed that their boards of directors unanimously approved the deal, which is expected to be completed during the third quarter of 2026, pending necessary regulatory approvals and a vote from Warner Brothers Discovery shareholders (expected in early spring of 2026).
The new entity will include a wide range of popular channels and platforms such as CNN, CBS, HBO, Nickelodeon, along with the streaming platforms Paramount+ and HBO Max (which will merge in the future), as well as major film franchises such as Harry Potter, Game of Thrones, Mission Impossible, SpongeBob, DC Comics, Top Gun, and Star Trek.
This deal is considered one of the largest mergers in the history of the media industry and aims to enhance competitiveness against broadcasting giants like Netflix and Disney, amid challenges of large debts and rapid changes in the entertainment market.
