Paramount, Warner Bros gain after settlement with US states
PSKY•Year-to-date performance
YTD, including the session's move, PSKY stock was down 17% while WBD had risen 6.1%.
Shares rise after settlement news
Shares of media giants Paramount Skydance PSKY.O and Warner Bros Discovery WBD.O rose on Monday, with PSKY up 8.3% at $11.1 and WBD gaining 10% to $30.6.
Fee risk avoided if the deal closes
A settlement helps PSKY avoid a $7 million daily fee it would have owed to Warner Bros shareholders for each day the deal did not close past Sep. 30.
Settlement clears a hurdle for the deal
A person familiar with the matter told Reuters that PSKY has settled with 12 states that sued to block its $110 billion acquisition of WBD.
The settlement includes creating independent editorial boards for CNN and CBS and a pledge for 30 annual movie releases, clearing a major hurdle for the deal, the source said.
