Paramount wraps up $110 billion Warner Bros merger to create Hollywood powerhouse Skydance
PSKY•Paramount Skydance completed its $110 billion takeover of Warner Bros Discovery, forming Skydance, which will carry about $80 billion in debt. The company is targeting $6 billion in savings, and CNN and CBS News leadership will remain unchanged.
1. Merger closes
Paramount Skydance completed its $110 billion takeover of Warner Bros Discovery on Tuesday, creating Skydance and placing CEO David Ellison in control of the combined entertainment and news business. Its portfolio includes the studios behind “Mission: Impossible,” “Harry Potter” and DC Studios, as well as CBS, CNN, Paramount+ and HBO Max.
2. Savings and plans
Ellison and co-CEO Ynon Kreiz are targeting $6 billion in savings, with the company saying a large part will come from non-labor sources. Skydance plans to combine HBO Max and Paramount+ into one service and release at least 30 films annually in each of its first two years after closing, then 32 a year for the following three.
3. Debt and leadership
The combined company is expected to carry about $80 billion in debt. CNN chief Mark Thompson and CBS News Editor-in-Chief Bari Weiss will retain their roles and report separately to Ellison and Kreiz. Warner Bros shareholders also received a $41.9 million ticking fee, based on the number of days between September-end and closing.
