Netflix switches its Warner Bros offer to all-cash deal to quell Paramount

Warner Bros Discovery’s studio and streaming assets have been reduced to an all-cash offer on Netflix as a way to stop Paramount’s rival attempts to acquire the Hollywood gizmo.

According to a regulatory filing on Tuesday, the Warner Bros board voted unanimously for the new all-cash bid, which is currently $ 27.75 per share.

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Warner Bros is favored by Paramount Skydance and Netflix over its top film and television studios, extensive content library, and a strong fan base for the superheroes Batman and Superman from DC Comics and Game of Thrones.

Warner Bros has detested the David Ellison-led company, despite Paramount’s changing terms and aggressive media campaigns to try to persuade shareholders that its offer is better. Larry Ellison, the billionaire founder of Oracle, is a close ally of Donald Trump, the president of the United States. On Tuesday, Paramount’s all-cash offer was removed from the company’s comments.

The streaming pioneer claims that the meeting was scheduled to take place by April and that Warner Bros will convene a special investor meeting to vote on the Netflix deal.

Netflix co-CEO Ted Sarandos stated in a statement that “our revised all-cash agreement will allow an expedited timeline for a stockholder vote and provide greater financial certainty.”

Netflix’s stock is up 0.7%, with quarterly earnings scheduled to come out after the close of the market. Warner Bros’ shares increased 0.7% in midday trading while Paramount shares dropped 1.1 percent.

The bidding war for Warner Bros may not be over, according to Alex Fitch, portfolio manager for Harris Oakmark, the fifth-largest shareholder in the company as of September 30.

Fitch claimed that “this new agreement only increases the pressure.” “The changes demonstrate that Netflix is serious about winning, and Paramount must act with urgency as a result of the accelerated shareholder vote.” If Paramount wants to get this done, they must now make a clearly superior offer.

Netflix’s stock has fallen nearly 15% since the merger’s announcement on December 5, and it closed at $88 per share on Friday, which is significantly below the original bid’s $97.91 floor price. Paramount’s claim that its bid was better was supported by that drop.

Netflix’s new $ 27.75-per-share offer replaces its previous $ 23.25 cash and $ 4.50 stock bid.

A fixed cash amount will be paid by an investment-grade company to provide [Warner Bros] stockholders with certainty of value and liquidity right away after the merger is concluded, according to Warner Bros.

Additionally, the board of directors made a statement regarding the company’s valuation of Discovery Global, a planned spin-off that will include television assets like CNN, TNT Sports, and the Discovery+ streaming service.

Due to Warner Bros’ shareholders’ continuing ownership of the separately traded Discovery Global, the board has argued that the Netflix merger deal is superior to Paramount Skydance’s $30-per-share cash offer for the company.

The valuation of Discovery Global was based on three different methods employed by Warner Bros. By applying a single value across the entire company, they came to a price of $1.33 per share. If the spin-off became involved in a pending transaction, the price would be $6.86 per share.

The cable spinoff that is fundamental to the streaming service giant’s offer, according to Paramount, is essentially useless.

A deadline is approaching.

A Delaware court judge rejected the request, finding that Paramount had failed to demonstrate it would suffer irreparable harm from the alleged inadequate disclosures about Warner Bros’ cable TV business, so the rival bidder went to court on January 12.

A Reuters request for comment was not immediately responded to by Paramount Skydance, whose tender offer expires on January 21.

“Paramount will appeal to shareholders in another way. The appeal will be merely window dressing, according to E-marketer analyst Ross Benes.

As Warner investors weigh the worth of cable assets, the race is anticipated to come to a head at a shareholder vote later this year.

After considering the “price and numerous risks, costs, and uncertainties,” Warner Bros reiterated its reasons for rejecting the Paramount bid. It claimed that its $30 all-cash offer was insufficient.

The Warner Bros deal’s inclusion of all-cash on Netflix is a wise decision, according to Matt Britzman, senior equity analyst at Hargreaves Lansdown. Even if it doesn’t reduce regulatory scrutiny, “a cash bid removes uncertainty and is unquestionably more appealing from the perspective of Warner Bros.”

When Netflix merges, the two companies would have roughly $85 billion in debt, compared to $87 billion for Paramount. However, Netflix is much more valuable, reaching $ 402 billion on the market, compared to $ 12.2 billion for Paramount.

The Netflix tie-up would have a lower leverage ratio than Paramount’s, which is about seven.

According to the regulatory filing, Netflix also agreed to let Warner Bros reduce Discovery Global’s indebtedness by $ 260 million.

Warner Bros said in its filing that Netflix also has an investment-grade credit rating, whereas Paramount’s bonds have S&amp and P ratings and are likely to be put under even greater pressure.

Given that lawmakers from all political parties have expressed concerns that further media consolidation may lead to higher prices and less choice for consumers, winning over shareholders’ approval may only be the first step in what could be a protracted process.

How can Europe respond to Trump’s Greenland tariffs threat?

Fears of a trade war have been a result of the US’s claim to the Danish territory.

Due to his opposition to his plans to take control of Greenland, US President Donald Trump has threatened to impose tariffs on seven European Union nations and the UK.

Leaders of the EU are considering how to respond.

What choices do they have? What dangers exist for both sides, then?

Presenter: Maleen Saeed

Guests:

Rebecca Christie – Senior fellow at the European think tank Bruegel with a focus on economics

Ben Aris, the founder and editor-in-chief of bne IntelliNews

US envoy says SDF’s role in Syria has ‘largely expired’ after ISIL

According to US Special Envoy for Syria, the Syrian Democratic Forces (SDF) have “largely expired” as the country’s “primary anti-ISIS force on the ground” is ready to take over security responsibilities, according to US Special Envoy for Syria Tom Barrack.

The US military presence in northeastern Syria was historically justified primarily as a counter-ISIS partnership, according to Barrack on X.

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With Damascus joining the Global Coalition to Defeat ISIS as its 90th member in late 2025, Syria’s situation has “fundamentally” changed.

He claimed that Syria is now “willing and positioned to assume security responsibilities,” including control of ISIL (ISIS) detention facilities and camps.

After President Ahmed al-Sharaa announced that Kurds would be granted citizenship rights and protections for the Kurdish language, the envoy continued to claim that the Syrian government has now opened a “unique window” for Kurds to integrate as it adopts its position as the “anti-ISIS” force.

Following a four-day ceasefire announced by the government, Barrack added that the Kurdish community’s future in Syria is now “on the path to full integration.”

Ayman Oghanna, a journalist from Damascus, claims that the US and the SDF have enjoyed “a very long relationship.”

They have “more than a decade” equipped, trained, and fought alongside the SDF, and still have 900 troops in SDF territory, he said.

We spoke with Syrian Kurds in the days leading up to the conflict because they worried that Damascus’ growing ties with the SDF might cause the US to abandon its relationship with them, which is what seems to be happening.

The Syrian army and the SDF made a ceasefire deal, which was al-Sharaa’s biggest victory since the government’s 2024 fall, with Barrack’s statement coming after the two countries reached a truce.

In the city of al-Shaddadi on Monday, reports of clashes between the Syrian army and the SDF broke out, with those accused of having ISIL connections fleeing prison.

Museveni’s son threatens Bobi Wine after Uganda election

The son of Uganda’s newly re-elected President Yoweri Museveni threatened to kill singer-turned-opposition leader Bobi Wine, who has been hiding since last week’s election and is contesting the results.

General Muhoozi Kainerugaba of Uganda issued the threat on Tuesday, just days after Museveni, 81, was declared the winner of his seventh term in a contest that the opposition called a “sham” due to allegations of fraudulent votes.

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Wine claimed in an interview with Al Jazeera that he has “evidence” of election fraud, including ; Videos purport to show how Museveni’s supporters fill out ballot papers.

The Electoral Commission of Uganda’s spokesperson declined to comment on this claim.

According to Wine, who placed second in the ballot, the opposition National Unity Platform has killed 22 NUP terrorists since last week, according to Kainerugaba, who spoke on X Tuesday.

He continued, “I’m praying the 23rd is Kabobi,” referring to the opposition leader as “the leader.”

Wine has since gone into hiding since the election, and Kainerugaba accused the security forces of raiding his home and attempting to capture him last year. Kainerugaba threatened to behead him online last year.

These accusations have not been proven by Uganda’s army. Since Saturday, there hasn’t been any information about Wine’s whereabouts.

According to Kainerugaba, “I give him exactly 48 hours to give himself to the police.” We will handle him as an outlaw/rebel and treat him accordingly if he doesn’t. ”

Wine criticized Kainerugaba’s “threats to kill me” and demanded that the military leave his compound, adding: “My wife and people are not safe. ”

Wine claimed that his only reason for not being home was to be able to communicate with the world and that no one would be able to talk to me while I was there.

He reacted to being called a “terrorist” in response to that.

To run against a dictator, according to Wine, is to be a “terrorist,” a traitor, and everything else.

Young people are imprisoned for supporting my party and my cause. However, I’m not in custody along with the secretary-general and many others.