▶️ Netflix exits the game
The battle for the media giant is over: the board of directors of Warner Bros. Discovery (WBD) has officially recommended accepting Paramount Skydance’s offer.
Netflix, whose contract was already on the table, declined to raise its bid and walked away from the deal, stating that WBD is “not worth that price.”
Terms from Paramount that Netflix deemed too high:
🔹Price: 31 dollars per share in cash.
🔹Guarantees: Paramount will pay the 2.8 billion dollar termination fee owed to Netflix for breaking the previous deal, plus a further 7 billion dollars if regulators block the merger.
🔹Backing: Larry Ellison is personally guaranteeing the financial strength of the transaction.
Netflix co-CEOs Ted Sarandos and Greg Peters noted that the acquisition would have been “nice to have,” but not “something to pursue at any price.” Netflix will now focus on organic growth, planning to invest 20 billion dollars in original content in 2026.
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