World News

Skydance Media submits new merger offer to Paramount: WSJ

Skydance Media has submitted a new offer to Paramount Global (PARA) as part of its bid to acquire the media giant, according to the Wall Street Journal. Yahoo Finance Entertainment reporter Alexandra Canal highlights the challenges facing Paramount while also examining bids from Sony (SONY) and Apollo Global Management (APO).

Apollo Global Management is the parent company of Yahoo Finance.

For more expert insights and the latest market action, click here to watch this full episode of Catalysts.

This message was written by Luke Carberry Mogan.

Video transcription

Alright, let’s talk about Paramount because the battle for Paramount Sky Dance media has reportedly submitted a new merger offer with Paramount Global and Paramount execs are expected to revisit the deal soon.

That’s what the newspaper says.

This is the latest twist in what feels like a battle that has been going on for over a month, as entertainment giant Yahoo Finance’s Alexandra Canal has the details on it.

Ali it’s a new day.

We have a new offer on the table.

Yes, it feels like these deals have been everywhere over the past few months, a few weeks ago it looked like the Sony Apollo deal was going to win out.

Then we felt like we were entering a period where there might be no deal at all.

And now it appears the Sky Dance deal is officially back on the table according to the Wall Street Journal Sky has submitted a sweetened offer that is apparently more favorable to both voting and non-voting shareholders.

And that was really the crux of the matter here when Sky was first introduced, Shari Redstone, she controls Paramount through the family holding company National Amusements.

She was always in favor of the Sky Deal, but non-voting shareholders felt the initial offer unfairly benefited Shari and came at the expense of other shareholders.

So that’s what led to a lot of back and forth.

And while we don’t have an official agreement yet, we’ve already seen a lot of changes in this company.

Bob Back is no longer CEO and the directors are replacing him.

Some industry observers believe Paramount is trying to resolve its problems internally before trying to sell them.

However, many of the overarching issues we face are actually industry-wide, the struggle to keep streaming profitable, the decline of linear television.

These are all problems that are not unique to Paramount.

So, you know, going forward, any deal will first have to be approved by an independent committee of directors and then ultimately it will be up to us, so the future remains uncertain.

The stock is down about 20% year to date, but we’re seeing an increase of about 2% today.

Alright, Ali, thank you very much, as always, for joining us on this beat.

I know you cover it very closely for us, so we really appreciate it.

Thank you so much.

yahoo

Back to top button