While many were skeptical that Warner Bros. Discovery would entertain the notion of a merger or acquisition after a banner year at the box office, a new report has confirmed that CEO David Zaslav is indeed entertaining offers.
First reported in June, it seems the newly merged Paramount Skydance (backed by Oracle founder Larry Ellison) is not done making moves. The studio reportedly has its eyes on acquiring Warner Bros.' studio and streaming assets, including HBO Max, Warner Bros. Television & Motion Pictures, and DC Studios, following its upcoming restructuring, which would see it jettison its linear/cable networks (CNN, TNT, Discovery, etc.).
Now, Bloomberg is reporting that Paramount has made an initial offer of $20 per share for the company, which totals a market capitalization of roughly $49.64 billion. Zaslav and his team rejected the offer, calling it too low.
Warner Bros. Discovery stock closed on Friday at $17.10 per share. It will certainly be interesting to see how this latest offer from Paramount moves the needle once the stock market opens on Monday morning.
Once the restructuring is complete in 2026, Zaslav and his team believe the new company, composed solely of studio and streaming assets, will have a stock price much higher than the current $17.10 per share listing.
Despite the banner box office year for Warner Bros. Discovery- thanks to James Gunn's Superman, A Minecraft Movie, Sinners, Weapons, The Conjuring: Last Rites, and Final Destination: Bloodlines, the company is still contending with the $30–$40 billion in debt created by the Warner Bros. and Discovery merger back in 2022.
Additional reports state that Paramount Skydance will look to increase its offer. If that is not accepted, they may consider bypassing Zaslav and other executive leadership, appealing directly to shareholders, or finding another partner to further increase the bid.
Last month, reports emerged that Netflix could also enter into discussions with Warner Bros. Discovery, but the streamer's leadership recently remarked that they are "highly unlikely" to make a bid. Still, unlikely doesn’t mean never, so the streaming giant should still be viewed as an outside, dark-horse contender.
With strong IP like Mission: Impossible, Star Trek, Sonic the Hedgehog, Top Gun, Jack Reacher, and Scream, acquiring WB’s library of DC heroes and villains, Game of Thrones, Harry Potter, and The Lord of the Rings would instantly position the new entity as Disney’s top rival, potentially supplanting Universal.
Stay tuned for future updates, as this is a continuing story likely to play out through the rest of 2025 and well into 2026.