Warner Bros. plans to tell its shareholders to turn down Paramount’s hostile bid
Warner Bros. Discovery is reportedly planning to tell shareholders to reject Paramount’s hostile takeover bid, according to Wall Street Journal reporting.
The company is said to support the $83 billion bid from Netflix, despite its potentially murkier regulatory outcome.
Following the report, WBD shares dipped in the minutes leading up to the market close on Tuesday. Shares of the HBO parent opened at $29.49, relatively close to the $30-per-share offer from Paramount.
Shortly after the news broke that Warner Bros. management was preparing to encourage shareholders to reject Paramount's bid, several outlets reported that Jared Kushner's firm would back out of the group had been assembled to help finance that bid. Confirming the withdrawal, a spokesperson for the firm helmed by the President's son-in-law told NBC News that "the dynamics of the investment have changed significantly since we initially became involved in October."
Analysts this month have said that a renewed bidding war for Warner Bros. seems “inevitable” given the antitrust concerns surrounding Netflix’s potential acquisition. President Trump on Tuesday appeared to distance himself from speculation around his closeness to Paramount’s owners, posting on Truth Social, “If they are friends, I’d hate to see my enemies!”
Warner’s direct attempt to influence its shareholders could fuel a higher bid from Paramount in the coming weeks — shareholders currently have until January 8 to decide whether to accept the current offer.
Following the report, WBD shares dipped in the minutes leading up to the market close on Tuesday. Shares of the HBO parent opened at $29.49, relatively close to the $30-per-share offer from Paramount.
Shortly after the news broke that Warner Bros. management was preparing to encourage shareholders to reject Paramount's bid, several outlets reported that Jared Kushner's firm would back out of the group had been assembled to help finance that bid. Confirming the withdrawal, a spokesperson for the firm helmed by the President's son-in-law told NBC News that "the dynamics of the investment have changed significantly since we initially became involved in October."
Analysts this month have said that a renewed bidding war for Warner Bros. seems “inevitable” given the antitrust concerns surrounding Netflix’s potential acquisition. President Trump on Tuesday appeared to distance himself from speculation around his closeness to Paramount’s owners, posting on Truth Social, “If they are friends, I’d hate to see my enemies!”
Warner’s direct attempt to influence its shareholders could fuel a higher bid from Paramount in the coming weeks — shareholders currently have until January 8 to decide whether to accept the current offer.
