NEW YORK (AP) — Warner Bros. Discovery has received a temporary reprieve from Netflix, giving the media company seven days to restart acquisition discussions with Paramount Skydance.
According to a regulatory document filed on Tuesday, Warner Bros. indicated the waiver provides an opportunity to address outstanding issues with Paramount’s earlier proposals.
The entertainment conglomerate has been given a deadline of February 23rd to work out a potential deal with Paramount Skydance.
Warner’s executive team has historically favored Netflix’s acquisition proposal. Last December, Netflix reached an agreement to purchase Warner’s studio operations and streaming platform for $72 billion in an all-cash deal that both companies believe will accelerate the timeline for shareholder approval by April. When factoring in debt obligations, the total enterprise value reaches approximately $83 billion, equivalent to $27.75 per share.
In contrast to Netflix’s targeted approach, Paramount is seeking to purchase Warner’s complete operations, which would encompass television networks such as CNN and Discovery. Paramount made a direct appeal to shareholders in December with a comprehensive $77.9 billion cash proposal.
