Skydance-owned Paramount has completed its $81bn acquisition of Warner Bros. Discovery, creating one of Hollywood’s biggest media and entertainment companies.
The deal, completed on Tuesday, brings two of the United States’ oldest movie studios under one corporate roof, alongside major entertainment and media brands including HBO Max, CNN, CBS, Paramount+, and the franchises “Harry Potter,” “Top Gun” and “The Godfather.”
The newly expanded company will operate under the shorter Skydance name and be led by billionaire David Ellison and his new co-CEO, Ynon Kreiz.
The merger further consolidates power within an entertainment industry already dominated by a small number of major companies.
Skydance acquired Paramount for $8bn last year before turning its attention to Warner Bros. Discovery.
The takeover battle lasted roughly a year and involved competing bids, with Netflix initially emerging as Warner’s preferred buyer after the company indicated it was willing to sell parts or all of its business.
Paramount later launched a hostile bid for the entire Warner business, eventually raising its offer to $31 per share.
Netflix subsequently withdrew from the contest, paving the way for Paramount and Warner to reach a merger agreement in February.
Including Warner’s debt, the value of the transaction is estimated at nearly $111bn, making it one of the largest deals in the media and entertainment industry.
Speaking after the completion of the deal, Ellison said, “Today is a historic day, not just for Skydance but for our entire industry. We couldn’t be more excited to get to work.”
