The media sector is abuzz as Paramount Skydance submits an unsolicited bid for Warner Bros. Discovery (WBD), escalating the ongoing $83 billion sale initially agreed with Netflix.

Paramount, led by David Ellison, proposed a $30 per share all-cash offer, later indicating a willingness to increase to $31 per share, including a quarterly "ticking fee," while promising a faster, more certain path to closing compared to Netflix’s deal.

WBD's board faces a delicate position, opening a seven-day window to clarify Paramount's proposal while maintaining its unanimous recommendation of the Netflix acquisition, highlighting the complex negotiations and pressure on directors to secure the best shareholder value.

Netflix CEO Ted Sarandos accused Paramount of spreading misinformation, asserting that Paramount does not enjoy any faster regulatory approval path and reaffirmed Netflix’s ability to complete the transaction smoothly, citing its global reputation and regulatory familiarity.

To ensure transparency for WBD shareholders, Netflix allowed the negotiation waiver while reiterating its deal as the most valuable, with a special shareholder meeting set for March 20 to vote on the merger, and the proxy noting a consideration range between $21.23 to $27.75 per share.

Paramount criticized WBD for not formally declaring that its offer could “reasonably be expected” to exceed Netflix’s, signaling Paramount’s continued challenge to the board’s cautious approach and emphasizing the competitive tension in this high-profile acquisition saga.