Warner Bros. Discovery’s board is expected to turn down Paramount Skydance’s amended hostile bid after a meeting next week, keeping the company on course with its previously announced Netflix deal, according to a person familiar with the deliberations. The move would mark another rejection even after billionaire Larry Ellison stepped in with a personal guarantee meant to address financing doubts that have shadowed Paramount’s campaign.
Paramount’s offer seeks to buy all outstanding Warner Bros. Discovery shares at $30 per share in cash through a tender offer structure. A securities filing describes the bid as expiring at 5 p.m. New York time on Jan. 8, 2026, unless extended, and gives Paramount latitude to extend the offer and announce changes publicly. In its latest revision, Paramount raised its regulatory reverse termination fee to $5.8 billion and extended the tender deadline to Jan. 21, 2026, while keeping the $30 headline price unchanged.
Warner Bros. Discovery has framed the proposal as too risky at the current price. On Dec. 17, the company said its board unanimously recommended shareholders reject Paramount’s tender offer, calling it “illusory” and arguing it can be terminated or amended by the bidder before completion. The board also warned that exiting its Netflix agreement would trigger a $2.8 billion breakup fee, setting a high bar for any rival bid that wants to pry the company away.
The Netflix agreement values Warner Bros. Discovery at $27.75 per share, paid as $23.25 in cash and $4.50 in Netflix stock (subject to a collar), and is expected to close after Warner Bros. Discovery completes the planned separation of its Global Networks business into Discovery Global, targeted for Q3 2026. Analysts have split on what matters most: Seth Shafer of S&P Global said he doubts many shareholders were waiting on the guarantee issues addressed by Paramount’s revision, and one large investor told Reuters the sweetened terms still were not “sufficient.” Regulators and lawmakers also loom over both paths, with the deals set for antitrust scrutiny in the U.S. and Europe.
