A day after Netflix withdrew its name from the high-stakes bidding war for Hollywood studio Warner Bros Discovery, Paramount has finalised its bid to acquire the studio and its assets. According to Reuters, Warner Bros Discovery has agreed to be acquired by Paramount Skydance in a $110 billion deal.
Warner Bros agrees to be acquired by Paramount
In a statement released by the companies on Friday, they said that the deal, with an equity value of $81 billion, is expected to close in the third quarter of 2026. The final details of the deal were confirmed by Warner Bros in a townhall held earlier in the day.
The merger would create a media powerhouse, combining major studios and networks such as CNN and CBS to compete more aggressively, as streaming has upended the industry by drawing audiences away from traditional linear TV.
What the future holds for the new mega studio
The new combined entity will boast a film library of over 15,000 film, TV , and streaming titles, including globally popular franchises like Game of Thrones, Mission Impossible, Harry Potter, and the DC Universe.
For months, Netflix had been the favourite to close the deal. The streaming pioneer had launched a $27.75-per-share agreement for WB’s studio and streaming assets. The deal, valued at $83 billion, was eventually upended by Paramount on Thursday with its latest $31-per-share offer. Additionally, while Netflix had offered to buy only Warner Bros’ studio and streaming assets, Paramount was buying the whole company.
WB executives gave Netflix four business days to come up with a better counteroffer, but the streaming giant refused. Warner Bros received the contracts from Paramount on Saturday, and within the following two days of non-stop negotiation, it concluded that Paramount’s offer was superior, Reuters reported.
Warner Bros shareholders are expected to vote on the proposed merger in early spring of 2026, the companies said. The new company has pledged to maintain both studios and produce a minimum of 30 theatrical films annually.
‘This merger must be blocked’
However, cinema operators and industry insiders are worried that combining large Hollywood studios could cost jobs. “The loss of competition would be a disaster for writers, consumers and the entire entertainment industry. This merger must be blocked,” the Writers Guild of America, a union representing thousands of television and film writers, along with other media workers, said in a statement.