Core Viewpoint - A class-action lawsuit has been filed by Mario Gabelli's investment fund on behalf of Paramount Global shareholders, alleging that controlling shareholder Shari Redstone benefited unfairly from the $8.4 billion merger with Skydance Media [1][2]. Group 1: Lawsuit Details - The lawsuit claims that Redstone's investment vehicle, National Amusements (now Harbor Lights Entertainment), received $60 for each Class A Paramount share, while public shareholders only received $23 [2][4]. - Defendants in the lawsuit include National Amusements, Paramount Global board members, Shari Redstone, and Skydance [2][4]. - The lawsuit was filed under seal in Delaware's Court of Chancery [4]. Group 2: GAMCO's Position - GAMCO stated it had an obligation to pursue the lawsuit for its clients and expressed concerns about the lack of transparency regarding the compensation received by National Amusements for its shares [5]. - GAMCO was forced to redeem its shares for cash due to the situation [5]. - GAMCO is noted as the second-largest shareholder of Paramount, holding 11.7% of the company's Class A stock [7]. Group 3: Merger Context - The merger with Skydance closed on August 7, creating a new entity called Paramount Skydance, which combines Paramount's distribution network and media library with Skydance's production capabilities [6]. - Paramount allegedly did not address GAMCO's concerns or put the deal to a vote among minority investors, which is typically expected [7].

Group 1 - Paramount's president Jeff Shell indicated that upcoming job cuts will be "painful" but will occur quickly, with an expectation of $2 billion in cuts [1][3] - Shell emphasized the importance of avoiding quarterly layoffs, contrasting with the previous leadership's approach [2][3] - The restructuring could potentially exceed the $2 billion target, although no specific timeline was provided for the layoffs [5][6] Group 2 - Paramount recently acquired exclusive rights to show UFC matches in the US in a $7.7 billion, seven-year deal starting in 2026, which significantly boosted the company's stock by 37% [9][10] - Following the initial surge, the stock experienced a slight decline of 4%, closing at $14.38 [10]

Watch on Deadline Mario Gabelli, the longtime fund manager who has made noise over the past two years about the terms of the Paramount-Skydance merger, has sued former Paramount controlling shareholder Shari Redstone. Gabelli, chairman of New York-based Gamco, filed suit against Redstone and National Amusements, the company that held the controlling stake in Paramount shares, in Delaware Chancery Court on Wednesday. He is seeking class-action status for the complaint. Along with other shareholders, Gabelli ...

Core Insights - The article emphasizes the importance of in-depth research in the casino and gaming sector, highlighting the availability of resources for investors [1] Group 1: Industry Overview - The casino and gaming sector is characterized by significant operational complexities and requires specialized knowledge for effective investment [1] - The sector includes various segments such as traditional casinos, online betting, and entertainment industries, which are interconnected [2] Group 2: Expert Analysis - Howard Jay Klein, with 30 years of experience in major casino operations, leads an investing group called The House Edge, focusing on actionable research in the gaming industry [2] - Klein's investment strategy is centered around value investing, emphasizing the quality of management as a key factor in investment decisions [2] Group 3: Research and Resources - The House Edge offers a subscription service that provides in-depth research and insights into the casino and gaming sector, including a forthcoming guide on gaming stocks [1]

Group 1 - Paramount Skydance Corp (NASDAQ: PSKY) experienced a surge of over 20% on August 13 after being labeled a "meme stock" by CNBC's Jim Cramer, with shares trading at $12.85 at the time of the comment [1] - By the time of publication, shares of Paramount Skydance were up 22.34%, trading at $13.42, after reaching a peak increase of 27% earlier in the session [1][2] - The stock rally followed the completion of a high-profile merger with Skydance Media, combining Paramount's content library and distribution network with Skydance's production capabilities, now trading under the ticker "PSKY" on Nasdaq [2] Group 2 - Paramount announced a seven-year, $7.7 billion media rights agreement with TKO Group Holdings, making it the exclusive distributor of UFC events in the U.S. starting in 2026, with all events streaming on Paramount+ [3] - The deal is expected to more than double the reported $550 million per year that ESPN currently pays for similar rights [3] - Leadership changes include David Ellison being appointed as Chairman and CEO, supported by a board of ten directors with expertise in media, technology, and finance [4] Group 3 - Seaport Global Securities initiated coverage of the stock with a Neutral rating, highlighting the transformative potential of the Skydance integration [4]

With the merger with Skydance now officially closed , Paramount Global has become Paramount Skydance Corporation (NASDAQ: PSKY ), and new CEO David Ellison hasn't wasted any time in making some big waves. While the details of the promised $2 billion Analyst's Disclosure:I/we have a beneficial long position in the shares of PSKY, AMZN either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than ...

Under the terms of the deal, CBS and Paramount+ will obtain the rights to stream and broadcast UFC's 13 marquee events and 30 "Fight Night" events. The Paramount deal ends UFC streaming deal with ESPN, which paid $550 million per year, and also ends ESPN's pay-per-view approach to charging for the fights. Trump, a noted friend of UFC President and CEO Dana White, was spotted at two fights with Ellison earlier this year, once in April and again in June. Ellison was able to secure the Paramount deal after wha ...

Core Insights - Paramount has acquired U.S. rights to TKO Group's UFC for seven years starting in 2026, paying a total of $7.7 billion, averaging $1.1 billion per year [2][3][6] Group 1: Deal Structure and Financials - The deal includes 13 marquee events and 30 "Fight Nights," with streaming available on Paramount+ and select events simulcast on CBS [2] - Payments are structured to be lower in the early years and increase over time [2] - Paramount's previous deal with ESPN averaged $500 million for five years, expiring at the end of 2025 [3] Group 2: Strategic Implications - The elimination of the pay-per-view model is seen as a significant shift, appealing to younger audiences who prefer subscription models [4] - TKO leadership initially planned to sell only "Fight Night" events but negotiated the full package deal rapidly after the merger with Skydance [5] - The acquisition of UFC rights is viewed as a rare opportunity, with limited top-tier sports rights available in the near future [6] Group 3: Market Position and Future Plans - UFC events are attractive for streaming platforms due to their year-round schedule, providing consistent subscription revenue [7] - Paramount is also interested in acquiring international rights to UFC, with a 30-day exclusive negotiation window for each country's rights upon renewal [8]

Core Viewpoint - Paramount Group reported significant leasing activity in its second-quarter earnings call, highlighting a major unreported lease and the overall strength of its New York portfolio, despite some omissions regarding vacant properties [1][4]. Leasing Activity - Paramount leased 690,000 square feet of offices in New York and San Francisco year-to-date, with 52% of these leases occurring in Manhattan [3]. - The starting rents for the leases signed by Piper Sandler and Adler & Stachenfeld were above $90 per square foot [3]. Portfolio Performance - The New York portfolio is currently 88.1% leased, the highest level since early 2022, indicating a strong demand for quality office space in the city [4][7]. - The reported leasing figures do not account for the vacant 60 Wall St., which has 1.6 million empty square feet, potentially skewing the perceived strength of the portfolio [4][7]. Debt and Refinancing - The largest upcoming maturity for Paramount is an $860 million loan on 1301 Sixth Ave., which is backed by high-performing assets that are over 97% leased [8]. - The company is on track to refinance this asset and plans to provide more details in the next earnings call [8]. Future Outlook - Showtime Networks is set to move out from 260,000 square feet at 1633 Broadway next year, but the building has been solidly leased for over 10 years, with active showings currently taking place [8]. - Asking rents at 1633 Broadway range from $70 to $90 per square foot, with positive activity noted in the leasing market [9].

Core Insights - Skydance Media has successfully merged with Paramount Global, creating a new publicly traded entity named Skydance Paramount Corp, valued at $8 billion, despite previous political and shareholder concerns [1][5][10] - The merger aims to revitalize Paramount's legacy brands and streaming services by leveraging Skydance's production and technological expertise [1][4] Company Structure and Leadership - David Ellison, the CEO of Skydance, will lead the new company and has outlined a vision to transform Paramount into a technology-driven organization [2][4] - The company will be restructured into three divisions: studios, direct-to-consumer, and TV media [4] - Jeff Shell, former NBCUniversal CEO, will serve as president, while George Cheeks will oversee the TV Media division [12][15] Financial Aspects - Skydance's acquisition includes a $2.4 billion payment for the Redstone family's controlling 77% stake in Paramount Global, alongside $4.5 billion to non-National Amusements shareholders and an additional $1.5 billion for debt reduction [10][11] - Shari Redstone will receive $180 million in severance and benefits, in addition to her stock holdings [10][17] Strategic Focus - The new leadership emphasizes enhancing streaming services, with plans for Paramount+ and Pluto TV to operate on a unified technology platform by 2026 [16] - The company aims to reinvent its TV Media brand portfolio to adapt to a non-linear viewing environment, focusing on maximizing cash flow for reinvestment [18]