The talks could be important for both stocks because the state-level lawsuit is now one of the biggest remaining obstacles to the deal. The U.S. Department of Justice cleared the merger in June, while European regulators approved it in July. California and 11 other states sued to block the acquisition a month later.
However, there is no guarantee Monday’s meeting will lead to a settlement. California Attorney General Rob Bonta said last week that any agreement would require “robust structural remedies,” suggesting Paramount may need to make meaningful changes to the deal rather than simply offer operating commitments.
The pressure to find a solution is also rising. California Gov. Gavin Newsom, Los Angeles Mayor Karen Bass, and the Directors Guild of America have all called for a settlement in recent weeks.
Separately, PSKY shares rose slightly on Friday to close at $10.35.
Delays Could Get Expensive for Paramount
