🏦 Netflix Brings Out the “Heavy Artillery”
Streaming giant Netflix has begun restructuring the financing of the “deal of the century.”
According to a filing with the SEC, the company has opened new credit facilities totaling $25 billion, which will replace part of the temporary obligations related to its planned acquisition of Warner Bros. Discovery (WBD).
Details of the deal with Wells Fargo:
✔️ $5 billion — a revolving credit facility for operating needs and merger-related expenses;
✔️ $20 billion — term loans in two tranches (with 2- and 3-year maturities), earmarked specifically to fund the cash portion of the WBD acquisition.
This move shifts the financing from short-term “bridge” arrangements to a more stable, long-term structure. Previously, the total debt commitments set aside by Netflix for the deal were estimated at a massive $59 billion.
While the Ellison family (Paramount) is offering personal guarantees, Netflix is responding with strong backing from major banks, underscoring the seriousness of its bid to acquire the media empire.
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