Paramount Says Report of $71 Billion Warner Bid Is Inaccurate

Core Viewpoint - Paramount Skydance Corp. has denied reports of working with Middle Eastern sovereign wealth funds on a $71 billion bid for Warner Bros. Discovery Inc., calling the information "categorically inaccurate" [1][2]. Group 1: Bid Details - The reported bid would value Warner Bros. at approximately $28.65 per share, with the Ellison family and RedBird Capital backing the offer [2]. - Each sovereign fund is expected to contribute $7 billion, while Paramount Skydance would provide $50 billion [2]. - Warner Bros. has previously rejected multiple offers from Paramount, with the highest being $23.50 per share [2]. Group 2: Market Reaction - Following the initial report, Warner Bros. shares increased by as much as 6.4% before settling, while Paramount shares rose by up to 3.7% [3]. Group 3: Industry Context - Warner Bros. has been up for sale since October, with a deadline for bids set for Thursday, attracting interest from multiple parties including Netflix and Comcast [4]. - Paramount is the only entity interested in acquiring the entirety of Warner Bros. [4]. - A merger between Paramount and Warner Bros. could significantly reshape the media industry, combining two major movie studios and influential news networks [5]. Group 4: Leadership Perspectives - Warner Bros. CEO David Zaslav is in favor of splitting the company into two, believing that separating film and streaming assets from cable TV could yield a premium [7].