Warner Bros. Discovery-Netflix Merger
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The memo questions whether the bidding for the studio has been "tilted" in favor of other suitors, cites media reporting on Netflix's bid.
Dec 3 (Reuters) - Paramount Skydance has raised the proposed breakup fee in its bid to acquire Warner Bros Discovery to $5 billion from $2.1 billion, Bloomberg News reported on Wednesday, citing people familiar with the offer.
Netflix touted the deal in a press release. “Today, Netflix, Inc. (the Company) and Warner Bros. Discovery, Inc. (WBD) announced they have entered into a definitive agreement under which Netflix will acquire Warner Bros., including its film and television studios, HBO Max and HBO,” Netflix wrote on December 5.
Attorneys for the David Ellison-run studio wrote a letter saying the streaming giant's offer posed "substantial" risks and singled out multiple times that Netflix "will reduce the number of films for broad theatrical release.
Just days before Netflix emerged as the highest bidder, Paramount tore into the "myopic process" that had become "tainted."