Despite strengthening its financing, Paramount Skydance has yet to convince at least one major shareholder that its bid for Warner Bros Discovery is compelling enough.
Harris Oakmark — Warner Bros’ fifth-largest shareholder (~4%) — says Paramount’s amended $108.4bn offer is “necessary, but not sufficient”, signaling it would hold out for better economics before backing a change in course.
What changed — and why it may not be enough
🔹 Financing bolstered
Larry Ellison has personally guaranteed $40.4bn of the bid, reducing funding uncertainty.
🔹 Regulatory break fee increased
Paramount raised its reverse termination fee to $5.8bn, matching the competing Netflix offer.
🔹 Price unchanged
The headline $30 per share cash offer remains intact — a sticking point for investors weighing execution risk and opportunity cost.
Why Netflix still has the edge
Although Netflix’s offer carries lower immediate cash, Warner Bros’ board unanimously supports it, citing:
- More secure financing
- A stock component
- Upside from the planned spin-off of Discovery Global
The bigger picture
This contest underscores the strategic value of “top-shelf” media assets — from HBO Max to iconic franchises like Harry Potter and Lord of the Rings — at a time when scale, content ownership, and regulatory feasibility matter as much as price.
Bottom line:
If Paramount wants to win, stronger economics — not just stronger guarantees — may be required.