Paramount launches $108.4 BILLION bid to rival Netflix's attempted takeover of Warner Bros

Paramount has issued a hostile offer, meaning going directly to the shareholders, for Warner Bros. Discovery, coming after Netflix announced on Friday that it had entered into a definitive agreement with the entertainment giant to acquire Warner Bros, including HBO and its studios, for $82.7 billion.

Paramount said in a statement on Monday, "The Paramount offer for the entirety of WBD provides shareholders $18 billion more in cash than the Netflix consideration. WBD’s Board of Directors recommendation of the Netflix transaction over Paramount’s offer is based on an illusory prospective valuation of Global Networks that is unsupported by the business fundamentals and encumbered by high levels of financial leverage assigned to the entity."

The $30-per-share offer would equate to $108.4 billion, "which represents a 139% premium to the undisturbed WBD stock price of $12.54 as of September 10, 2025." Paramount said that Netflix’s "creates a clear risk of higher prices for consumers, lower pay for content creators and talent and the destruction of American and international theatrical exhibitors. Netflix has never undertaken large-scale acquisitions, resulting in increased execution risk which WBD shareholders would have to endure."

Paramount CEO David Ellison said, "WBD shareholders deserve an opportunity to consider our superior all-cash offer for their shares in the entire company. Our public offer, which is on the same terms we provided to the Warner Bros. Discovery Board of Directors in private, provides superior value, and a more certain and quicker path to completion."

"We believe the WBD Board of Directors is pursuing an inferior proposal which exposes shareholders to a mix of cash and stock, an uncertain future trading value of the Global Networks linear cable business and a challenging regulatory approval process. We are taking our offer directly to shareholders to give them the opportunity to act in their own best interests and maximize the value of their shares," he continued. 

Netflix announced on Friday that it had entered into a "definitive agreement under which Netflix will acquire Warner Bros., including its film and television studios, HBO Max and HBO."

"The cash and stock transaction is valued at $27.75 per WBD share (subject to a collar as detailed below), with a total enterprise value of approximately $82.7 billion (equity value of $72.0 billion). The transaction is expected to close after the previously announced separation of WBD's Global Networks division, Discovery Global, into a new publicly-traded company, which is now expected to be completed in Q3 2026," the company added in the announcement.