Paramount CEO David Ellison, in a companywide memo, sought to project confidence that his $111 billion takeover of Warner Bros. Discovery will — eventually — cross the finish line.
On Friday, Paramount disclosed an agreement to put the WBD deal on hold for at least several months, as it seeks to defends itself in an antitrust lawsuit filed by 12 state attorneys general seeking to block the pact. The agreement to pause the Paramount-WBD merger until after the trial in the case will potentially prevent it from closing until 2027.
In the memo, sent to Paramount staffers Monday, Ellison wrote that “we remain highly confident that this transaction does not pose any legal issues, and we will complete it and bring these two companies together.”
About the decision to agree to freeze the merger ahead of the trial, Ellison said, “We believe this is the right path because the facts and the law are on our side, and a full hearing will demonstrate why the plaintiffs’ arguments should not prevail.”
He also wrote, “I know this additional uncertainty has been challenging, and I want to thank you for your continued patience, commitment and collective contributions. For now, it remains business as usual. Paramount and WBD are separate companies operating independently, and our focus remains on serving our audiences, supporting one another and executing our strategy.”
