Paramount Skydance (NASDAQ:PSKY) has reportedly increased its bid for Warner Bros Discovery (NASDAQ:WBD), intensifying the competition for one of the most coveted assets in Hollywood.
Paramount has submitted a higher bid than its initial $108.4 billion, or $30 per share, offer for Warner Bros., aiming to ease concerns over the certainty of its financing, reported Reuters on Monday. However, the publication did not mention more details about the revised bid.
Warner Bros. had earlier mentioned that Paramount had unofficially submitted a bid of $31 per share.
A late Monday report from Variety suggested that Warner Bros is likely to consider the Paramount offer while still recommending the Netflix Inc. (NASDAQ:NFLX) agreement to its shareholders.
Paramount and Warner Bros. did not immediately respond to Benzinga‘s request for comments.
Netflix–WBD Bid Battle Heats Up
Earlier this month, Warner Bros Discovery rejected Paramount Skydance’s previous hostile takeover bid, giving the company until February 23 to submit its “best and final offer”. This offer could be matched by Netflix, as per the terms of the merger agreement.
Despite the intense competition, analyst Gary Black predicted that Netflix would “emerge as victor” in the contest. He also suggested that even if Paramount succeeds in securing the deal, Netflix shares could rebound to the $100 mark, a level last seen on December 5. Reports last week also suggested that the company has plenty of cash available to raise its bid for Warner Bros.
Meanwhile, renowned director James Cameron voiced his concerns about Netflix’s proposed purchase of Warner Bros Discovery’s film studio, warning that it could severely damage the theatrical film business. He likened the potential fallout for cinemas to a “sinking ship”.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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