‘Final Throw of the Dice’

Post By DJ Longers
February 24, 2026

‘Final Throw of the Dice’: Paramount Submits Sweetened $32-Per-Share Bid for Warner Bros. Discovery

By [Your Name], Senior Financial & Media Correspondent Tuesday, February 24, 2026

BURBANK, CA — The battle for the soul of Hollywood has reached a fever pitch. In a last-minute "Hail Mary" designed to derail Netflix’s agreed-upon acquisition, Paramount Skydance (PSKY) officially submitted a significantly higher, "best and final" offer for Warner Bros. Discovery (WBD) late Monday night.

The new bid, which landed just before the 11:59 p.m. ET deadline, reportedly values WBD at approximately $32 per share—a notable jump from Paramount's previous $30 hostile offer and a substantial premium over Netflix’s current $27.75-per-share agreement.

The Multi-Billion Dollar Sweetener

According to sources familiar with the filing, David Ellison’s Paramount Skydance didn’t just raise the per-share price; they moved to eliminate every "deficiency" previously cited by the WBD board. The revised, all-cash offer for the entire company now includes:

Termination Fee Coverage: Paramount has committed to paying the $2.8 billion breakup fee WBD would owe Netflix for walking away.
The "Ticking Fee": A 25-cent per share quarterly incentive (totaling roughly $650 million per quarter) payable to WBD shareholders if the deal isn't closed by the end of 2026.
Financing Certainty: Backed by Oracle founder Larry Ellison, the bid includes an "equity cure" to address concerns over Paramount’s debt-heavy structure, guaranteeing the deal will close even if traditional debt financing falters.

Netflix’s Four-Day Window

The ball is now in the court of the Warner Bros. Discovery board, led by CEO David Zaslav. Under the terms of the limited seven-day waiver granted by Netflix last week, the board must now determine if Paramount’s $32 bid constitutes a "Superior Proposal."

If the board deems the Paramount offer better for shareholders, Netflix (NFLX) will have exactly four business days to exercise its "matching rights." Netflix Co-CEO Ted Sarandos has previously signaled that while Netflix is a "disciplined buyer," the company has ample cash reserves to bump its own $82.7 billion offer if it decides WBD’s studio and HBO assets are "must-haves."

A Clash of Visions

The two rival bids offer starkly different futures for the storied studio:

The Netflix Plan: A surgical acquisition of WBD’s Streaming & Studios (Warner Bros. Pictures, HBO, DC), while spinning off the "Global Linear Networks" (CNN, TNT, Discovery) into a separate entity for shareholders.
The Paramount Plan: A total takeover of the entire company, merging the Paramount and Warner Bros. libraries into a single "legacy" juggernaut to rival Disney and Apple.

Regulatory Crossroads

The bidding war is unfolding against a backdrop of intense political scrutiny. While Paramount argues its deal has a smoother regulatory path due to the Ellisons' relationship with the Trump administration, the President recently warned Netflix of "consequences" regarding board member Susan Rice, further complicating the DOJ's antitrust review of the Netflix deal.

As of Tuesday morning, WBD shares were trading up nearly 3% on the news, as investors bet on a potential counter-move from Netflix. With a special shareholder meeting already scheduled for 20th March the window for a final decision is closing fast.