Paramount Weighs In On WBD Talks: Will Engage In Good Faith But Move Ahead With Hostile Offer, Proxy Fight

Paramount has acknowledged that Warner Bros. Discovery (WBD), with the backing of Netflix, will engage in a seven-day negotiation period ending on February 23 regarding a potential deal. This announcement follows a series of rejected offers from Paramount, which had been consistently proposing bids of $30 per share in cash. The discussions aim to clarify outstanding concerns and allow Paramount to present its "best and final offer" to WBD (Deadline, Hollywood Reporter). WBD has indicated that it is open to discussions with Paramount but has set a March 20 date for a shareholder vote on its existing deal with Netflix. This vote is crucial as WBD continues to recommend the Netflix merger despite the ongoing negotiations with Paramount. The company is seeking clarity for its stockholders and hopes to resolve the situation during the negotiation period (Deadline, Variety). In response to the negotiations, Netflix has criticized Paramount for what it describes as misleading actions towards WBD shareholders regarding the regulatory landscape. Netflix's deal with WBD was signed in December and has received unanimous approval from the WBD board. The streaming service hopes that the upcoming talks will lead to a resolution of the ongoing M&A situation (Deadline). As the negotiations progress, the key question remains whether Paramount will increase its bid to over $31 per share, as WBD has suggested. The outcome of these discussions could significantly impact the future of both companies and their respective deals (Deadline, Variety).