Warner Bros. Discovery sets shareholder meeting date

(NBC, KYMA) - A major media merger is moving one step closer to becoming reality.

Warner Bros. Discovery (WBD) says they have scheduled a key shareholder vote on its proposed sale to Paramount Skydance, marking a significant step in the multi-billion-dollar deal.

Shareholders will decide whether to approve the transaction, which would see investors receive a substantial cash payout per share at a premium over the company's earlier valuation.

The company says it has already begun distributing voting materials to eligible shareholders ahead of the meeting.

If approved, the deal is expected to close later this year, though provisions are in place to compensate shareholders if the timeline is delayed.

The agreement represents one of the largest moves in the entertainment industry this year, as companies continue to consolidate in an increasingly competitive streaming and media landscape.

"The WBD Board has been guided by the singular principle of securing a transaction that maximizes the value of our iconic assets and delivers as much certainty as possible to our shareholders," said Samuel A. Di Piazza, Jr., Chair of the WBD Board of Directors. "This historic transaction with Paramount not only does that, but it will also expand consumer choice and develop new opportunities for creative talent."

David Zaslav, President and Chief Executive Officer of WBD, added, "We look forward to the upcoming Special Meeting. This transaction is the culmination of the Board’s robust process to unlock the full value of our world-class portfolio. I want to thank our talented team for transforming the business over the last several years. We are working closely with Paramount to close the transaction and deliver its benefits to all stakeholders."

Paramount also issued a statement regarding the upcoming meeting saying, "With a shared vision of building a next-generation media and entertainment company that better serves both the creative community and consumers, we look forward to WBD shareholders voting for the combination with Paramount as we work to close the transaction as soon as possible in the coming months."

The meeting is set for April 23, and WBD says the board unanimously recommends the shareholders to vote for the merger with Paramount.