WBD Files Definitive Proxy Statement and Schedules Special Meeting for March 20, 2026, to Approve the WBD-Netflix Transaction

Core Viewpoint - The WBD-Netflix transaction is positioned as the superior deal for WBD stockholders, promising regulatory approval and significant value creation for the entertainment industry [1][2]. Group 1: Transaction Details - WBD has filed a definitive proxy statement for a special meeting on March 20, 2026, to approve the Netflix acquisition of Warner Bros., including HBO Max and its film and television studios [1]. - The transaction is fully financed and is expected to enhance production capacity and investment in original content, leading to job creation [1][2]. - Netflix and WBD have submitted their Hart-Scott-Rodino filings and are actively engaging with global competition authorities to ensure a smooth regulatory process [1]. Group 2: Comparison with PSKY - Netflix emphasizes that the PSKY proposal lacks a clear path to regulatory approval and poses significant risks due to its financing challenges and rapid deleveraging plans [1]. - PSKY's bid is characterized by significant horizontal overlaps that could raise antitrust concerns, combining major sports distributors, news networks, and TV studios [1]. - The aggressive financing strategy of PSKY requires approximately $16 billion in cost savings, which may necessitate substantial job cuts, raising red flags for regulators [1]. Group 3: Industry Impact - The merger is expected to strengthen the entertainment industry by preserving consumer choice and providing creators with more opportunities [2]. - The transaction aims to deliver greater value to audiences worldwide through expanded access to films and series, both at home and in theaters [1][2]. - Netflix's strong cash flow supports the all-cash transaction structure, ensuring a healthy balance sheet and flexibility for future strategic priorities [1].