Paramount launches hostile takeover bid for Warner Bros. Discovery
(CNN, KYMA) - Paramount has launched a $108.4 billion hostile takeover bid for Warner Bros. Discovery.
Paramount CEO David Ellison says he believes when shareholders vote, they'll see his offer is better than the purchase deal Netflix announced Friday.
The proposed Netflix deal caught Hollywood insiders by surprise as Paramount was widely expected to be the frontrunner for Warner Bros.
Netflix offered $27.75 per share just for Warner Bros. and HBO while Paramount offered $30 per share in an all-cash deal for the entire company.
Netflix believes the eventual spinoff of Warner Bros. Discovery's cable assets, including CNN, TBS and TNT, not included in the deal will be worth several dollars per share that will ultimately be worth more than Paramount's offer.
President Donald Trump weighed in over the weekend saying the Netflix deal could "be a problem" because of its size and combined market share, and says he plans to be a part of the decision of whether or not to approve the merger.
