Warner Bros. Board Rebuffs Paramount's Latest Buyout Offer

Source: New York Times

Jan. 7, 2026, 7:10 a.m. ET


Warner Bros. Discovery advised its shareholders on Wednesday to reject Paramount’s latest takeover offer, arguing that even a personal commitment from one of the world’s richest men is not enough to make up for the deal’s complex financing. The announcement raises another roadblock in the aggressive, monthslong effort by Paramount’s chief executive, David Ellison, and his billionaire father, Larry, to buy Warner Bros. Discovery to better compete with streaming giants like Netflix, Disney and Amazon.

Warner Bros. Discovery announced a deal in December to sell much of its business to Netflix for $83 billion, shocking much of the entertainment industry. Warner said Netflix’s offer, for its TV and movie studios, was a better deal than Paramount’s proposal to acquire the full company.

Paramount has since made a hostile bid, taking its case to shareholders. It has also proposed a deal for which Larry Ellison, a co-founder of Oracle, has personally guaranteed $40 billion in equity. Paramount must now choose whether to raise its offer or continue to argue to Warner Bros. Discovery shareholders that its deal is better than Netflix’s.

The Netflix deal would reshape Hollywood, giving the country’s largest subscription streaming service the HBO Max streaming service and the Warner Bros. movie and TV studio. But hanging over any deal for Warner Bros. is the question of how federal regulators, who must sign off, will respond. President Trump has said he plans to play a role in any decision.

Read more: https://www.nytimes.com/2026/01/07/business/media/warner-bros-paramount-netflix.html