According to a source on Thursday, Netflix (NFLX.US) has submitted the highest bid among the potential buyers competing for Warner Bros. Discovery (WBD.US), escalating the battle for a deal that could reshape the media industry. Reports indicate that Netflix's proposal includes an 85% cash payment for its targeted assets. Earlier reports suggested the streaming giant aims to acquire Warner Bros. Discovery's studio and streaming divisions, potentially bundling Netflix with HBO Max to reduce consumer streaming costs.
Meanwhile, Paramount Skydance Corp. (PSKY.US) has accused Warner Bros. Discovery of unfair practices in the sale process, alleging bias toward Netflix over other bidders. A copy of a letter revealed that Paramount Skydance's legal team raised concerns about the "fairness and adequacy" of the bidding process in a communication to Warner Bros. Discovery CEO David Zaslav. The letter cited reports of management favoring Netflix's proposal.
Paramount Skydance, led by David Ellison, has requested Warner Bros. Discovery to confirm whether an independent special committee—composed of unbiased board members—has been established to evaluate offers and oversee the sale. The legal team emphasized, "We strongly urge you to authorize such a committee, ensuring its members are free from potential bias or external influences conflicting with shareholder interests."
Warner Bros. Discovery is now seeking another round of bids by the end of Thursday. Earlier this week, the company received revised offers from potential buyers, including Paramount Skydance, Comcast (CMCSA.US), and Netflix, after requesting improved bids from their initial November proposals.
The acquisition interest in Warner Bros. Discovery first emerged in October 2025 when its board initiated a strategic review following multiple unsolicited approaches. The bidding war has since intensified, with major contenders being Netflix, Comcast, and Paramount Skydance—the latter having previously sought to acquire the entire company. In October, Warner Bros. Discovery's board rejected Paramount Skydance's approximately $60 billion offer, prompting a formal sale process.
Comcast's proposal involves merging its NBCUniversal business with Warner Bros. Discovery to create a larger media conglomerate, offering a mix of cash and stock in its bid.
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