Paramount Goes Hostile $74.4B Bid for Warner Bros., Challenging Netflix $72B/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Paramount has issued a hostile $74.4 billion bid for Warner Bros. Discovery, directly challenging Netflix’s recently announced $72 billion merger deal. The offer includes cash and cable assets, aiming to sway shareholders away from Netflix’s proposal. Paramount argues its bid offers more value and fewer regulatory risks.
Paramount Warner Bros. Bid Quick Looks
- Paramount makes $74.4B hostile bid for Warner Bros.
- New offer surpasses Netflix’s $72B merger proposal
- Paramount going directly to Warner Bros. shareholders
- Bid includes cable assets, unlike Netflix’s proposal
- Paramount criticizes Netflix deal as risky, complex
- Six previous proposals to Warner Bros. were rejected
- Trump says Netflix deal may pose regulatory concerns
- Paramount’s tender offer expires January 8, 2026
- Warner and Paramount shares rose 5–6% on Monday
- Netflix shares fell slightly after Paramount’s announcement
Deep Look: Paramount Issues Hostile Bid Against Netflix-Warner Bros. Deal
NEW YORK — The battle for Warner Bros. Discovery has intensified as Paramount announced a hostile $74.4 billion takeover bid on Monday, openly challenging Netflix’s recently unveiled $72 billion acquisition agreement.
Paramount is now taking its offer directly to Warner Bros. shareholders, bypassing company leadership after previous rejections. The bid is valued at $30 per share in cash—higher than Netflix’s cash-and-stock offer of $27.75 per share. Additionally, Paramount’s proposal includes the purchase of Warner Bros.’ cable networks, assets Netflix had excluded from its deal.
According to Paramount, the offer exceeds Netflix’s by approximately $18 billion when including the valuation of those cable properties, which include legacy networks currently undergoing separation from Warner Bros.’ core business. Paramount criticized Netflix’s bid as relying on what it called an “illusory prospective valuation” of those omitted cable assets.
This dramatic move escalates an already transformative moment in the entertainment industry, as two of the biggest players in streaming and media seek to consolidate with one of Hollywood’s most historic studios.
Netflix had finalized its agreement with Warner Bros. Discovery on Friday, outlining a merger valued at $82.7 billion when including debt. That transaction is expected to close within 12 to 18 months, pending regulatory approval and the completion of Warner’s planned divestiture of its cable holdings.
But with Paramount now offering a more cash-heavy bid and promising to take on the entire business—including cable—shareholders may be swayed. In a statement accompanying the offer, Paramount CEO David Ellison emphasized the company’s vision for a more competitive and dynamic entertainment landscape.
“We believe our offer will create a stronger Hollywood,” Ellison said. “It is in the best interests of the creative community, consumers, and the movie theater industry. Enhanced competition, higher content spending, and increased theatrical releases will benefit everyone.”
Paramount also expressed concern about the complex regulatory challenges facing the Netflix merger. The company warned that Netflix’s bid exposes Warner Bros. Discovery shareholders to a drawn-out, multi-jurisdictional antitrust review with no guaranteed outcome.
Over the past 12 weeks, Paramount said it had submitted six proposals to Warner Bros. Discovery, all of which were rejected before the company accepted Netflix’s terms. Now, Paramount is making its offer public and urging shareholders to reject the Netflix deal.
The hostile bid has already made waves in financial markets. On Monday morning, shares of Warner Bros. and Paramount rose by 5% to 6% at the opening bell, signaling optimism from investors. In contrast, Netflix shares dipped slightly following news of the competing offer.
The new offer also arrives as the proposed Netflix deal faces growing political scrutiny. President Donald Trump commented Sunday that the Netflix-Warner Bros. merger “could be a problem” due to the potentially massive market share of the combined company. He said he expects to be involved in the federal review process, further complicating the regulatory landscape for both bidders.
Under the terms of the Netflix deal, the streaming giant would acquire Warner Bros. Discovery’s entertainment assets, including HBO Max, DC Studios, and blockbuster franchises like “Harry Potter.” However, the deal specifically excludes cable assets such as CNN and Discovery networks, which Warner Bros. intends to spin off before finalizing any merger.
By contrast, Paramount’s all-inclusive proposal eliminates the need for Warner Bros. to separate its cable business, streamlining the process and offering shareholders immediate cash. The offer appears designed not only to compete financially but to address potential roadblocks posed by regulatory agencies wary of further consolidation in the media sector.
The Paramount tender offer is set to expire on January 8, 2026, unless extended. In the coming weeks, both companies are expected to intensify their campaigns to win over shareholders and regulators, with the future of one of Hollywood’s biggest studios hanging in the balance.
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