Warner Bros. Discovery had a very tough fourth quarter, with revenue falling 6% to $9.46 billion.
TV networks’ revenue slid 12% to $4.2 billion amid slow ad and distribution sales. The studio report was just as dark, revenue declined 13% to $3.18 billion. M
Now unless you live outside our solar system, you will know the company is evaluating competing takeover bids, including an improved offer from Paramount Skydance. Netflix said last Thursday it would not match the revised proposal.
Today Netflix announced that it has declined to raise its offer for Warner Bros, they own of such media brands as HBO Max, DC Studios and CNN. Netflix had earlier received notice from Warner Bros. Discovery (WBD) that its Board of Directors has determined Paramount Skydance’s (PSKY) latest proposal constitutes a “Superior Proposal” under the terms of WBD’s existing merger agreement with Netflix.
In their statement co-CEOs Ted Sarandos and Greg Peters wrote the following:
The transaction we negotiated would have created shareholder value with a clear path to regulatory approval. However, we’ve always been disciplined, and at the price required to match Paramount Skydance’s latest offer, the deal is no longer financially attractive, so we are declining to match the Paramount Skydance bid.
With today’s announcement, another milestone for Paramount Skydance to acquire the historic assets of Warner Bros. Discovery appears to be in the rear view mirror.
