Paramount Skydance Eyes $32–$34 Bid, Pressuring Netflix Before March 20 Vote
Paramount Skydance signaled willingness to bid $31 per share for Warner Bros. Discovery and analysts project a move to $32 or $34 to end the takeover war. Netflix retains matching rights despite base-case accretion capped at $30 per share, with a shareholder vote scheduled for March 20.
1. Paramount Skydance Bidding Strategy
Paramount Skydance signaled willingness to bid $31 per share for Warner Bros. Discovery and analysts project a move to at least $32 to pressure Netflix. A bid in the $34 range would likely end debate over Discovery Global's value and force Netflix to reassess its offer.
2. Netflix's Matching Rights and Financial Position
Netflix retains the right to match any improved offer, though its base-case analysis shows no accretion above $30 per share. The company holds ample cash to raise its bid if necessary but faces diminishing deal math as the per-share price climbs.
3. Timeline and Deal Terms
Investors will vote on the Netflix proposal on March 20. Paramount's offer includes a ticking fee of up to $650 million per quarter after 2026 for regulatory delays and a commitment to cover a $2.8 billion breakup fee tied to the current agreement.