Some media M&A teams may be working through Thanksgiving weekend. Warner Bros. Discovery, which is pursuing takeover bids from Paramount Skydance, Comcast and Netflix, is seeking a second round of bids higher than its initial offer by Monday, Dec. 1, Variety has confirmed.
News of Warner Bros. Discovery’s second round bidding deadline was first reported by Bloomberg News. After submitting a new bid, the company “may enter a period of exclusive negotiations with one of the companies,” Bloomberg reported. The first round of offers for WBD were submitted last Thursday, November 20th, by Paramount Skydance, Comcast and Netflix.
Representatives for Warner Bros. Discovery and Paramount Skydance declined to comment. Comcast and Netflix did not respond to requests for comment.
Last month, Warner Bros. Discovery announced that it had received inbound M&A interest from “multiple parties” and had begun the process of considering offers. The company said it would explore the idea of separating the Warner Bros. business (HBO Max and Studios) from TV-focused Discovery Global and selling it, which would be in line with Warner Bros. Discovery’s ongoing plan to split into two companies by April 2026.
Netflix and Comcast are considering a deal to buy Warner Bros.’ streaming and studio operations separately from WBD’s cable TV business.
Paramount Skydance is interested in acquiring Warner Bros. Discovery outright. Paramount CEO David Ellison previously submitted a bid for WBD, but the Warner Bros. Discovery board rejected his $23.50 per share offer of 80% cash and 20% stock. Paramount Skydance’s first-round bid last week, fully backed by the Ellison family (i.e. Oracle founder Larry Ellison) and Redbird Capital Partners, was expected to be roughly in line with Ellison’s previous offer of $23.50 per share, the Wall Street Journal previously reported. Details of the Warner Bros. Discovery bidder’s offer terms and price could not be confirmed.
As part of the proposed acquisition of Warner Bros., Netflix executives told WBD that if the bid is successful, the company will honor Warner Bros.’ theatrical distribution agreement to continue showing Warner Bros. films in theaters.
Ultimately, Warner Bros. Discovery’s board could reject the M&A offer and stick to the company’s previous plan to split into two parts: Warner Bros., with Zaslav leading as CEO, and Warner Bros. Discovery Global is led by current CFO Gunnar Wiedenfels.
