Shari Redstone Sued By Paramount Investor Mario Gabelli Over Terms Of Skydance Deal

Core Viewpoint - Mario Gabelli has filed a lawsuit against Shari Redstone, alleging that she secured a favorable deal for herself during the Paramount-Skydance merger, resulting in $2.4 billion for her while disadvantaging other shareholders [1][2]. Group 1: Lawsuit Details - The lawsuit was filed in Delaware Chancery Court, seeking class-action status for the complaint [2]. - Gabelli and other shareholders claim that Redstone's actions constituted a "sweetheart deal" that favored her and her family [2]. Group 2: Merger Financials - The Paramount-Skydance merger was valued at $8.4 billion and closed after a lengthy regulatory process [3]. - Following the merger announcement, Paramount shares experienced a significant increase, although the reasons for this surge were unclear to market observers [3]. Group 3: Company Concerns - Gamco, the firm led by Gabelli, expressed concerns about the lack of transparency regarding the benefits received by National Amusements for their voting shares [4]. - The firm requested that minority shareholders be allowed to vote on the merger, a common practice in similar transactions [4]. - Gamco was compelled to redeem its shares for cash due to the inability to hold voting shares in the new Paramount entity [5].