Warner Bros. Discovery’s board of directors has unanimously recommended that the company’s shareholders reject the amended $108.4 billion tender offer from Paramount Skydance, reaffirming its support for the previously agreed merger with Netflix and signaling a high-stakes turning point in the media industry’s ongoing consolidation battle.
The board’s decision, announced in early January 2026, follows Paramount’s revised proposal to acquire Warner Bros. Discovery in a hostile bid valued at $30 per share in cash. Board leadership said the offer remained inferior to the existing Netflix merger agreement on multiple fronts, including overall value, financial certainty, and protections for shareholders if the transaction fails to close. Paramount’s bid also includes substantial debt financing, which Warner Bros. Discovery’s directors flagged as a heightened risk.
In a formal letter to shareholders, Warner Bros. Discovery emphasized that the amended Paramount tender offer does not constitute a “superior proposal” under the merger agreement with Netflix. The board continued to advocate for stockholder support of the Netflix transaction, which the company says offers greater certainty and a more favorable value proposition.
Paramount Skydance had amended its hostile offer in late December to address earlier concerns and bolster financing commitments. Despite those adjustments — including personal guarantees and other structural changes — Warner Bros. Discovery’s leadership concluded the revised terms still did not sufficiently protect shareholder interests or mitigate execution risks.
The battle for Warner Bros. Discovery underscores a broader strategic contest across the media landscape. Netflix’s proposed acquisition focuses on the company’s studio and streaming assets, while Paramount’s bid aims for control of the entire enterprise. Warner Bros. Discovery’s board maintains that the Netflix agreement delivers greater certainty and lower risk compared with alternatives.
Shareholders now face a pivotal choice as the company moves forward with its planned merger. Warner Bros. Discovery has reiterated that stockholders should reject Paramount’s offer and support the Netflix deal, which remains the board’s preferred path forward.
The outcome could shape the future structure of one of the entertainment sector’s largest combined entities and influence competitive dynamics among streaming platforms, Hollywood studios, and global media conglomerates.
