Warner Bros REJECTS Paramount's £81billion takeover bid - paving way for Netflix deal in Hollywood thriller

Warner Bros Discovery has rejected Paramount Skydance’s beefed up £81billion takeover bid – and urged shareholders to back a rival offer from Netflix.

In the latest twist in a battle that has gripped Hollywood, the Warner Bros board warned that Paramount’s offer was ‘inadequate’ and hinges on ‘an extraordinary amount of debt’.

And the century-old studio, whose films range from Casablanca to Harry Potter, reaffirmed its commitment to a deal with streaming giant Netflix.

The decision is a bruising setback for Paramount, which is behind films including The Godfather and Mission: Impossible and hit shows such as Yellowstone and Landman.

Last month billionaire Larry Ellison, whose family controls Paramount, provided a £30billion guarantee to back the offer.

But Warner Bros yesterday said Paramount's financing plan would saddle the smaller Hollywood studio with £65billion in debt once the acquisition closed, making it the largest leveraged buyout in history.

Read Full Article Here