WBD board says $31-per-share offer constitutes ‘company superior proposal’, triggering Netflix’s window to respond
Netflix has been given four days to beat a sweetened offer by Paramount Skydance for the assets of Warner Bros Discovery in the latest twist in the battle for control of the media giant.
In an announcement on Thursday afternoon, WBD said that its board had determined Paramount’s revised offer to be a “company superior proposal” compared with Netflix’s $82.7bn deal – triggering Netflix’s window to respond.
In its revised offer, Paramount offered $31 per share for the company, up from $30, a $7bn regulatory termination fee if the merger is not improved, and a “ticking fee” amounting to about $650m in cash each quarter beginning after September.
“WBD has notified Netflix of its determination that the PSKY proposal constitutes a ‘company superior proposal’,” the company said. “Under the terms of the Netflix merger agreement, this notice triggers a four-business-day period during which Netflix has the right to propose revisions to the Netflix merger agreement so that the PSKY proposal would cease to constitute a ‘company superior proposal’.
