Media and entertainment company Paramount wants to buy Warner Bros. He filed a lawsuit against Discovery demanding the disclosure of basic financial information to help shareholders make informed decisions.
US entertainment giants Paramount, Warner Bros. In its letter to shareholders, Discovery (WBD) provided information on the next steps to take in the process of making an all-cash offer of $30 per share.
In the letter signed by Paramount CEO David Ellison, it was emphasized that they were determined to complete the offer.
The letter stated that the purpose was to nominate board members for election at WBD's 2026 Annual General Meeting and to gather votes against approving the company's transaction with Netflix.
Additionally, in the letter, it is argued that WBD management has failed to provide adequate information on issues such as valuation and debt structure in connection with the Netflix transaction and the spin-off of Global Networks, and a lawsuit has been filed in a court in Delaware, demanding that this information be disclosed to the public so that shareholders can make a reasoned assessment.
RECOMMENDATION OF REJECTION RECEIVED FROM THE BOARD OF DIRECTORS
Paramount announced on December 8, 2025 that it had submitted an offer to acquire all shares of WBD for $30 per share in cash, representing a total enterprise value of $108.4 billion.
Paramount's offer was compared to Warner Bros. by Netflix. It comes after he announced he had reached a deal with Discovery.
Netflix will buy Warner Bros. on December 5, 2025, including the film and television studios, as well as HBO Max and HBO, with an equity value of $72 billion and a total enterprise value of $82.7 billion. He announced that he had reached an agreement with Discovery.
On December 17, 2025, the WBD Board of Directors recommended that the company's shareholders reject the acquisition offer made by Paramount and support the agreement reached with Netflix.
Paramount then revised its offer on December 22, 2025. While the company pursued an offer to buy all of WBD's stock for $30 per share in cash, billionaire businessman Larry Ellison personally secured $40.4 billion in equity financing for the offer.
On January 7, the WBD Board of Directors recommended to the company's shareholders that Paramount's revised acquisition offer be rejected.
