Group 1 - US markets saw significant developments on Thursday, particularly a sharp rally in Warner Bros. Discovery shares [1] - The rally in Warner Bros. Discovery shares was driven by speculation regarding a potential takeover [1]

Core Viewpoint - Paramount Sky Dance is preparing a bid for Warner Brothers, with the potential for a cash-heavy structure, indicating an imminent offer expected next week [2][4]. Group 1: Bid Preparation - A source confirms that a bid is being prepared for Warner Brothers, aligning with reports from the Wall Street Journal [2]. - The structure of the bid remains unclear, but it is suggested that cash will play a significant role [2]. - The bid is anticipated to be announced soon, possibly next week, highlighting the urgency of the situation [2]. Group 2: Market Reaction - Warner Brothers shares have seen a significant increase, reflecting positive market sentiment regarding the potential bid [2]. - Paramount shares have also shown strength, indicating investor confidence in the proposed merger [2]. Group 3: Industry Implications - The merger of Warner Brothers and Paramount could raise antitrust concerns, although previous mergers, such as Disney's acquisition of Fox, have set precedents [3]. - The combination of the two studios could lead to substantial cost synergies and enhanced scale, particularly in their streaming services, HBO Max and Paramount Plus [4]. - A notable options trade involving 100,000 contracts for Warner Brothers Discovery calls suggests that market participants may have insider knowledge about the impending bid, resulting in significant profits [5].

Core Viewpoint - Paramount Skydance is preparing a takeover offer for Warner Bros Discovery (WBD) to consolidate two major US media conglomerates and Hollywood studios [1][2] Group 1: Takeover Bid Details - Paramount is planning a majority cash bid for WBD, supported by the Ellison family [2] - Following the news, shares in WBD increased by up to 34% [2] Group 2: Company Background - WBD owns significant media assets, including Warner Bros studios, CNN, DC Comics, and several TV networks like HBO [2] - Paramount owns Paramount Pictures and TV broadcasters such as CBS in the US and Channel 5 in the UK [3] Group 3: Recent Strategic Moves by Ellison - David Ellison has quickly made strategic moves since taking control of Paramount, including a $7.7 billion deal for UFC broadcasting rights and exclusive contracts with the Duffer brothers and Activision for a Call of Duty movie [4] - Decisions regarding CBS News, a major news operation, have come under scrutiny, particularly related to a settlement with Donald Trump over a controversial interview [5][6] Group 4: Implications for Media Landscape - The potential acquisition of WBD raises questions about the future of CNN, which has faced criticism from Trump regarding its coverage [8]

Core Viewpoint - Paramount Skydance is preparing to submit a bid to acquire Warner Bros. Discovery, with backing from the Ellison family, following a recent merger with Paramount [1]. Group 1: Acquisition Proposal - The bid from Paramount Skydance will encompass Warner Bros. Discovery's cable networks and movie studio [1]. - The proposal comes after a multibillion-dollar merger between Skydance Media and Paramount was completed [1]. Group 2: Market Reaction - Following the news of the acquisition bid, shares of Warner Bros. Discovery increased by over 26%, reaching $15.89, marking the largest single-day gain since July 2005 [2]. - Paramount Skydance's shares also saw a rise of more than 8.5%, reaching $16.42 [2]. Group 3: Background Context - Skydance, led by David Ellison, had previously announced a merger with Paramount, which faced competition from other bidders like Sony and Apollo Global Management [3]. - The merger was approved by the Trump administration after Skydance agreed to end certain diversity, equity, and inclusion initiatives [3].

Group 1 - Paramount Skydance is preparing a majority cash bid for Warner Bros Discovery, backed by the Ellison family, which has led to a nearly 30% increase in Warner Bros shares and a 7% increase in Paramount shares [1] - The bid aims to acquire the entire Warner Bros Discovery company, including its cable networks and movie studio [1] - Analysts highlight the Ellison family's financial support as crucial for the deal, especially as Paramount faces heavy debt and a challenging streaming market [4] Group 2 - Paramount Skydance CEO David Ellison is focused on enhancing the company's film slate and streaming ambitions while restructuring the struggling Paramount+ service [3] - Warner Bros Discovery plans to separate its cable business from its studios and streaming operations in response to declining TV viewership due to the rise of streaming [6] - Warner Bros Discovery's finance chief indicated the possibility of selling a 20% stake in its studio unit before the spinoff, while Paramount Global intends to retain and develop its own cable networks [7]

Core Viewpoint - Warner Brothers Discovery is reportedly facing a bid from Paramount Sky Dance, backed by Larry Ellison, which has led to a significant increase in Warner Brothers Discovery's stock price by over 20% [1][2]. Group 1: Bid Details - The bid from Paramount Sky Dance is said to be for the entire Warner Brothers Discovery company, including its cable networks and movie studio, as the company prepares for a split [2][3]. - There has been speculation that Paramount Sky Dance would be interested in acquiring only part of the company, specifically the streaming and studios segment, but the current report indicates interest in the whole company pre-split [3]. Group 2: Market Reaction - Following the news of the bid, shares of Paramount Sky Dance increased by approximately 6% [3]. Group 3: Strategic Implications - The potential acquisition aligns with Paramount Sky Dance's strategy to create a tech-driven company aiming to lead in streaming and other areas [4]. - The merger raises antitrust concerns, particularly regarding regulatory approval, given the size and influence of both Warner Brothers and Paramount in the media landscape [6]. Group 4: Regulatory Considerations - The merger is viewed as a significant regulatory challenge, especially considering the current administration's stance on such large-scale mergers in the media sector [6]. - Larry Ellison's connections to the previous administration may provide insights into the potential for regulatory approval of this deal [6].

ToplineParamount Skydance will submit a bid to acquire Warner Bros. Discovery in a proposal backed by the billionaire Ellison family, the Wall Street Journal reported Thursday, weeks after a multibillion-dollar merger closed between Skydance Media and Paramount. The proposal includes Warner Bros. Discovery's cable networks and movie studio.NurPhoto via Getty Images ...

Core Insights - Warner Bros. Discovery shares increased over 30% following reports of a potential takeover bid from Paramount Skydance, which would include the HBO Max catalog rights [1] - Paramount Skydance is financially backed by the Ellison family, who experienced a significant increase in wealth due to a rise in Oracle stock, marking the largest one-day jump in individual net worth recorded by Bloomberg [2] - Warner Bros. Discovery's stock had been relatively flat year-to-date before the surge, with a 60% increase for the year but still down 25% over the past five years [3] Company Developments - Warner Bros. Discovery announced plans to split into two companies, focusing on global TV networks and streaming/studios [2] - CEO David Zaslav stated that HBO Max is projected to reach 150 million homes by next year and emphasized that the streaming service is undervalued [3] - Zaslav also mentioned the company's confidence in the quality of its productions, suggesting that this could allow for price increases as they believe they are currently underpriced [4]

Paramount Skydance Reportedly Bidding For Warner Bros. Discovery In Latest Bold Venture After Ellison Takeoverhttps://t.co/QG73I5i8Z8 https://t.co/O0GcoMJaYC ...

Signage at the Warner Bros. Discovery headquarters in New York, US, on Thursday, June 12, 2025.Warner Bros. Discovery shares soared Thursday afternoon on a report that the recently merged Paramount Skydance was preparing a takeover bid. WBD's stock was up more than 20% on Thursday after The Wall Street Journal reported that Paramount Skydance was preparing a majority cash bid for the company. Representatives for Paramount and Warner Bros. Discovery declined to comment. Warner Bros. Discovery recently announ ...