The European Commission is now formally examining one of the largest media deals in history, and the sticking point isn’t just market concentration. It’s the $24 billion in Middle Eastern sovereign wealth fund money helping to pay for it.
Paramount Skydance’s proposed acquisition of Warner Bros. Discovery, valued between $81 billion and $111 billion, has entered the EU’s Phase 1 antitrust review process. A decision is expected by July 7, 2026. The investigation will apply the EU’s Foreign Subsidies Regulation, a framework designed specifically to scrutinize deals involving state-linked capital from outside the bloc.
The money behind the megadeal
Three Gulf sovereign wealth funds have committed roughly $24 billion in equity to help finance the transaction. Saudi Arabia’s Public Investment Fund, the kingdom’s primary investment vehicle, is the largest single contributor at approximately $10 billion. Those commitments were finalized around early April 2026.
The deal itself was announced on February 27, 2026. Paramount’s stock jumped about 11% on the news.
