Paramount launches hostile bid for Warner Bros., challenging Netflix deal
The battle for Hollywood’s crown just intensified. Paramount Pictures has launched a hostile bid to acquire Warner Bros. Discovery (WBD), directly challenging a recently announced $72 billion Netflix takeover deal.
On Monday, Paramount revealed that it would bypass WBD’s management and go straight to shareholders with a $30-per-share cash offer for the entirety of the company, including its Global Networks business.
The move urges shareholders to reject the Netflix agreement, which had been signed just days earlier.
Paramount’s offer had previously been rejected by Warner Bros. Discovery in favor of Netflix’s proposal, a transaction that would significantly reshape the U.S. entertainment landscape.
Paramount criticised the Netflix deal as exposing shareholders to “a protracted multi-jurisdictional regulatory clearance process with an uncertain outcome, along with a complex and volatile mix of equity and cash.”
David Ellison, Paramount’s Chairman and CEO, emphasised the benefits of the new proposal.
“We believe our offer will create a stronger Hollywood. It is in the best interests of the creative community, consumers, and the movie theater industry.
“Shareholders will benefit from enhanced competition, increased content spending, more theatrical releases, and a greater number of movies in theaters as a result of our proposed transaction, ” he said.
Netflix’s deal, signed last Friday, involves acquiring Warner Bros.
Discovery for $27.75 per share, combining cash and stock, giving the enterprise a total value of $82.7 billion including debt.
The deal is expected to close within 12 to 18 months after Warner completes the separation of its cable operations.
Notably, the acquisition does not include networks such as CNN and Discovery.
The high-profile contest has drawn political attention.
President Donald Trump expressed concerns over the size of the combined market share under Netflix, stating on Sunday that he would be involved in determining whether the federal government should approve the deal.
Paramount’s tender offer is set to expire on January 8, 2026, unless extended, signaling a potentially protracted showdown in one of Hollywood’s biggest corporate battles in recent years.
Investors responded immediately: Warner Bros. and Paramount shares rose between 5 and 6 percent at Monday’s opening bell, while Netflix shares edged lower, reflecting market uncertainty over the new bid.
The unfolding battle sets the stage for a high-stakes clash that could redefine content creation, distribution, and the broader media landscape in the United States.
