Yahoo Finance·2026-01-20 14:00Group 1 - Netflix is offering cash for shares of Warner Bros. Discovery (WBD), revising its previous cash-and-stock deal while maintaining the valuation of $82.7 billion for WBD's movie studio and streaming assets at $27.75 per share [1][2] - The new offer aims to simplify the deal structure, provide greater certainty of value, and expedite the timeline for a shareholder vote, with Netflix financing the deal through cash, debt, and committed financing [2] - Paramount Skydance has intensified its efforts with an all-cash offer of $30 per share for WBD, backed by a $40 billion guarantee from Larry Ellison, which has led to legal actions against WBD for more information on Netflix's offer [2][3] Group 2 - WBD's board has consistently rejected Paramount's bids, arguing that a sale to Netflix would be more beneficial due to its capital strength, while expressing concerns over the risks associated with Paramount's proposal, which would incur $87 billion in debt [4] - WBD has raised questions about Paramount's ability to operate post-acquisition, citing concerns over its "junk" credit rating and negative free cash flow, which would worsen with the deal [5] - In October, WBD announced it was exploring a sale after receiving unsolicited interest, with a valuation of over $45 billion at that time, while facing challenges from declining cable viewership and competition from streaming services [6]