Paramount-Skydance has just secured nearly $24 billion from three Middle Eastern sovereign wealth funds to take over Warner Bros Discovery. This includes Saudi Arabia’s Public Investment Fund, which is providing about $10 billion, with Qatar and Abu Dhabi’s state funds covering the rest of it.
The three funds have also agreed to forgo any governance rights, including board representation, which Paramount says should keep the deal outside of the CFIUS jurisdiction. Democrat Senators have been pushing for the FCC to conduct a thorough review of the foreign investors involved, however. Paramount execs do not expect that the funds’ involvement will trigger an FCC review, since each fund is less than 25% of the combined company’s value.
Tencent is also reportedly back on board as an investor with fresh funding. Larry Ellison, co-founder of Oracle, also committed up to $46.7 billion for the deal. With the additional funds from the Middle East, Ellison will be able to reduce his total equity in the new company.
Paramount-Skydance plans to acquire Warner Bros Discovery for $83 billion
Warner Bros Discovery had planned to split in half again, spinning off Discovery and selling Warner Bros to Netflix. Until Paramount-Skydance swooped in to outbid Netflix. Which is a huge get for Paramount if they can finalize the deal.
As expected, this merger is gaining a lot of attention from regulators. As this isn’t just a simple merger between two streaming services, but also two major studios in Warner Brothers and Paramount. This would effectively make the new company larger than Netflix and any other streaming company.
This is going to result in a massive reshaping of the entertainment landscape. bringing HBO, Warner Bros studios, DC, CNN, Discovery Networks, Paramount Pictures, CBS, Showtime, and Paramount Plus all under one banner.
The deal is expected to close in Q3 2026, providing it can get past all of the regulatory hurdles.
The post Paramount Just Got $24 Billion to Buy Warner Bros and Reshape Hollywood appeared first on Android Headlines.
​Â
