Exclusive | Suitors submit bids for Warner Bros. Discovery, with winning offer expected at less than $30 per share

Core Viewpoint - The bidding war for Warner Bros. Discovery (WBD) is underway, with expectations that the final offer will be below the $30 per share target set by CEO David Zaslav, despite initial bids starting at $23.50 from Paramount Skydance [1][5][18]. Group 1: Bidding Participants - Paramount Skydance, led by David Ellison and backed by Larry Ellison, is a primary contender in the bidding process for WBD [2][5]. - Other major bidders include Comcast, led by Brian Roberts, and Netflix, managed by Ted Sarandos, Greg Peters, and Reed Hastings [2][10]. - Amazon and other media and tech companies have shown interest, but their commitment level remains uncertain compared to the main bidders [3]. Group 2: Bid Details and Expectations - Paramount Skydance has made an initial offer of $23.50 per share and is expected to enhance its bid to around $25 per share, with advice to avoid a costly bidding war that exceeds $27 per share [5][6]. - The bidding process is anticipated to continue until the end of the year, with Zaslav likely holding two to three rounds of bidding to increase the price [5][24]. - Paramount Skydance's bid is characterized by a high cash component (80%) and regulatory certainty, making it more appealing compared to the fragmented bids from Comcast and Netflix [13]. Group 3: Regulatory and Political Considerations - Comcast and Netflix face significant regulatory hurdles from the Trump administration, which may complicate their bids [7][20]. - The political landscape is a critical factor, as the Trump administration may favor Paramount Skydance due to its connections with the Ellison family, potentially leading to a quicker antitrust review process [18][20]. - If Comcast wins the bidding, it may face a lengthy antitrust investigation due to its existing debt and ownership of major studios, which could delay the acquisition process [10][20]. Group 4: Future Strategies - Zaslav is considering the possibility of breaking up WBD into separate entities if the bidding does not meet expectations, with a potential reevaluation of the sale next year [24][25]. - The WBD board must weigh the benefits of a quicker approval from Paramount Skydance against the lengthy regulatory processes associated with Comcast and Netflix [24].