Warner Bros Likely to Reject Paramount’s $108 Billion Hostile Bid

Warner Bros Discovery is expected to turn down Paramount Skydance’s amended $108.4 billion hostile bid, according to a report by CNBC, despite billionaire Larry Ellison personally backing Paramount’s offer with a guarantee. Both Warner Bros and Paramount Skydance declined to comment on the report.

The potential rejection underscores ongoing concerns over valuation, strategic alignment, and deal certainty, even after Paramount attempted to sweeten its offer. Industry analysts suggest that Warner Bros may prefer to continue pursuing a rival cash-and-stock merger with Netflix, which could better align with the studio’s long-term strategic goals.

Paramount Skydance, backed by Ellison’s financial assurance, has been aggressively pursuing Warner Bros as part of a broader consolidation trend in the media and entertainment sector. However, Warner Bros executives appear cautious, highlighting potential risks associated with hostile takeovers, including integration challenges, regulatory hurdles, and shareholder resistance.

Market watchers note that a decision to reject Paramount’s bid would not end the negotiations entirely but could signal a firm commitment to exploring alternative partnerships. The unfolding situation reflects the high-stakes environment of major media mergers, where valuations often run into hundreds of billions and strategic fit can be as critical as financial incentives.

As the media landscape continues to evolve, all eyes are on Warner Bros and Netflix to see if a mutually beneficial deal can be finalized, while Paramount’s aggressive pursuit highlights the competitive pressures reshaping the entertainment industry.