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Ellison's $83B Bid: WBD Shareholders Face Netflix Choice
10 Dec
Summary
- Paramount's David Ellison is challenging Netflix's $83B WBD acquisition.
- Ellison claims his offer provides superior value and faster completion.
- He disputes claims of being 'not good for the money' by WBD.
David Ellison, leading Paramount's bid, has taken his case directly to Warner Bros. Discovery (WBD) shareholders, bypassing CEO David Zaslav. Ellison's public offer, identical to a private one, aims to present a superior value and a quicker, more certain acquisition compared to the deal WBD accepted from Netflix. He emphasizes that shareholders can still tender their shares to realize Paramount's proposal.
Ellison contends that Netflix's announced $83 billion offer, valued at $23.25 per share in cash and stock, is materially lower than advertised. He also believes his proposed acquisition faces fewer regulatory obstacles. The Paramount CEO fiercely defended his company's financial standing against speculation that they were not 'good for the money,' pointing to WBD's failure to engage with him on any concerns.
This move comes after Warner Bros. Discovery agreed to be acquired by Netflix last week for nearly $83 billion. Ellison's intervention suggests a continued battle for control, with Paramount advocating for its offer as the more financially sound and strategically advantageous choice for WBD shareholders, particularly highlighting the lack of direct communication from WBD's leadership.
