Benzinga·2025-12-10 08:20Core Viewpoint - Paramount Skydance's CEO David Ellison is advocating for a $108 billion all-cash hostile bid for Warner Bros. Discovery, positioning it as a more favorable option compared to Netflix's $82.7 billion cash-and-stock offer [1]. Group 1: Bid Details - Paramount's bid is an all-cash offer of $30 per share, which is not the final offer as the company is considering increasing the price or providing additional regulatory assurances [4]. - Netflix's bid consists of $23.30 in cash and $4.50 in Netflix stock per WBD share, but it does not include the acquisition of WBD's traditional television channels, such as CNN [4]. Group 2: Shareholder Reactions - Several WBD shareholders expressed a favorable impression of Paramount's proposal, viewing it as potentially simpler and faster to navigate regulatory hurdles compared to Netflix's offer [2]. - Some investors indicated they would be inclined to accept Paramount's bid unless Netflix improves its offer [3]. Group 3: Market Impact - The bidding war has led to a significant increase in WBD's shares, which rose over 130% to $28.26, while PSKY shares fell by 7.25% to $14.64 and NFLX shares dropped by 9.4% to $96.40 in the past five days [6]. - The competition between Paramount and Netflix has created a unique situation in Hollywood, where factors like financing structures, regulatory risks, and deal speed are becoming as important as the bid price [6]. Group 4: Regulatory Considerations - President Donald Trump has indicated he will play a direct role in the federal review of Netflix's bid, raising potential regulatory concerns regarding market share [7]. Group 5: Timeline - WBD shareholders have until January 8 to respond to Paramount's tender offer, while WBD's board must provide its response by December 22 [5].