Paramount Skydance Corporation Class B Common Stock

Iowa Attorney General Brenna Bird announced she is taking California to the Supreme Court after the state and 11 others sued to block Paramount Skydance's planned acquisition of Warner Bros. Discovery. Montana's Austin Knudsen joined Bird in filing a motion with the Supreme Court on Tuesday, arguing that the twelve states have effectively vetoed a transaction that the other thirty-eight states and the United States declined to challenge. The filing contends that a handful of states are abusing antitrust law to score political points, not to protect competition, and that the untimely lawsuit is already harming competition. The legal action comes as California Attorney General Rob Bonta faces pressure to settle, having reportedly canceled a meeting with Paramount representatives scheduled for Monday. Investment bankers are also examining potential divestitures of Warner Bros. assets if a settlement requires them.

California Attorney General Rob Bonta said on the 25th that no settlement talks are currently scheduled regarding the antitrust lawsuit seeking to block media giant Paramount Skydance's $110 billion acquisition of Warner Bros. Discovery. A settlement meeting scheduled for the 24th was called off, and Bonta accused Paramount of lacking good faith by leaking details of a previous meeting and misrepresenting the discussions. At a press conference on public safety, Bonta said he would be willing to meet if the other side approached talks sincerely and in good faith, while reiterating concerns that the merger of two major Hollywood studios would raise consumer prices, reduce choices, and lower the quality of films and TV shows. He also cited a Los Angeles County report predicting that 4,500 film and television-related jobs would be lost within three years of the merger, dealing a blow to the local economy.

Paramount Skydance is facing pushback from a collection of US attorneys general in its proposed acquisition of rival Warner Bros. Discovery. Media analyst Evan Shapiro says the deal will remain in limbo unless Paramount backs out, and that Larry Ellison is personally backing $40 billion dollars of this $111 billion dollar deal. Shapiro notes Oracle stock has dropped 60% since bidding began, and if Oracle's debt is rated junk, Ellison's personal stock gets locked up, putting the Ellisons in financial hot water. He adds that Netflix, Apple, or a spun-out NBC could swoop in if Paramount walks away, which he thinks is increasingly likely given a $7 billion breakup fee.

California Attorney General Rob Bonta has canceled a settlement meeting with Paramount that was scheduled for Monday regarding the state's lawsuit seeking to block Paramount's proposed $111 billion acquisition of Warner Bros. Discovery. Bonta called off the meeting late Sunday, accusing Paramount of acting in bad faith by leaking and misrepresenting details of a prior settlement discussion held on Friday. He said his office would be happy to meet again once Paramount engages sincerely. Bonta had previously indicated he would accept only structural remedies, and a Wall Street Journal report said he was expected to ask Paramount to divest some cable channels and keep its movie studio separate from Warner Bros. Paramount CEO David Ellison has threatened to relocate the studio out of California if no settlement is reached by October 1.

Paramount Skydance asked a US judge to require the twelve states challenging its Warner Bros Discovery acquisition to post a $1.88 billion bond covering the cost of delay. Paramount owes Warner Bros shareholders $7 million a day if the $110 billion merger doesn't close by September 30, and with trial set for March and final briefs in April, it puts unrecoverable ticking fees at $1.3 billion by then. Through June 1 the figure reaches $1.7 billion, plus $190 million in incremental financing costs if closing slips to June 2027. The Justice Department's approval expires February 19. California Attorney General Rob Bonta noted Paramount negotiated the ticking fee itself and agreed to the timing it's now protesting, saying the companies are lying in a bed of their own making. Paramount agreed in late July to pause the acquisition until the states' challenge is resolved. California and eleven states sued on July 13 in Oakland federal court, arguing the deal would create a company able to raise prices across film and television. The Writers Guild of America has also sued.

Prediction market traders now see roughly a one-in-four chance that Paramount Skydance's bid to acquire Warner Bros. Discovery will fail. On Kalshi, traders assign a 74% likelihood that Paramount will acquire Warner Bros. by July 2027, with 22% odds that no deal goes through by that date. Before California and 11 other states sued to block the merger on July 13, odds of success were over 80%, but they fell to as low as 66% on July 24 when Paramount announced it would delay the acquisition to 2027. On Polymarket, odds are a similar 23% that no acquisition succeeds by June 30, 2027. The merger's termination date is March 4, 2027, automatically extending to June 4, 2027 if only regulatory obstacles remain, and a federal judge has set a March 2027 trial date for the states' lawsuit.

Paramount Skydance Corporation's roughly $110 billion deal to buy Warner Bros. Discovery remains frozen after the two companies agreed not to close it until five days after a trial verdict or June 1, 2027, whichever comes first. A coalition of 12 states led by California, plus the Writers Guild of America, sued to block the deal on antitrust grounds, and the judge overseeing the case has already signaled real doubts about its legality. Paramount owes Warner shareholders a $650 million ticking fee every quarter starting September 30 until the deal closes, and if it collapses entirely, Paramount owes a $7 billion breakup fee on top of the $2.8 billion it already paid Netflix to win the original bidding war. Paramount wants the trial to start in November 2026, while the states and the writers' union want April 2027. The deal has already cleared the Justice Department, the European Union, and China, along with 65 jurisdictions worldwide overall, according to CEO David Ellison, and Paramount hired litigator Beth Wilkinson, who previously beat state antitrust lawyers defending Microsoft's $75 billion Activision Blizzard purchase. However, Judge Araceli Martínez-Olguín has already written that the combined companies' market share alone lets the court presume the merger likely violates antitrust law, and Paramount's stock is down over 37% this year as of August 3, 2026, with the firm having already spent more than $160 million on legal fees linked to the bid. Warner Bros. Discovery had 94 hedge fund holders as of Q1 2026, up from 86 the quarter before, while Paramount had just 30 holders, down from 37.

Warner Bros. Discovery reported a 10% increase in streaming revenue for the second quarter, even as total revenue fell short of Wall Street expectations and the company faces a legal challenge to its proposed merger with Paramount Skydance. The streaming segment surpassed $3 billion in quarterly revenue and generated adjusted EBITDA above $500 million, driven by HBO Max's international expansion and series such as "Euphoria," "House of the Dragon," and "The Pitt." Total revenue declined 11% to $8.72 billion, missing the $9.21 billion consensus estimate, while adjusted EBITDA slipped to $1.88 billion from $1.95 billion a year earlier. Net income plunged to $149 million, or $0.06 per share, from $1.58 billion, or $0.63 per share, due to intangible-asset write-downs and restructuring charges tied to the pending acquisition. The proposed $110 billion deal faces a trial date of March 2, 2027, after a coalition of state attorneys general successfully opposed Paramount's push for a later start, and under the merger terms Paramount must pay Warner Bros. Discovery shareholders roughly $7 million per day starting October 1 until the deal closes.

A federal judge in California has scheduled a March 2027 trial for the lawsuit challenging media giant Paramount Skydance's planned acquisition of Warner Bros. Discovery. State Attorney General Bonta had sought an April trial start, while Paramount argued for November, making the decision a win for the state. The state contends the deal would harm competition in film and television distribution, and the Writers Guild of America is concerned about reduced demand for writing work. Paramount defends the acquisition, saying it would expand content production. If the deal is delayed until next summer, Paramount could pay Warner Bros. shareholders up to 1.7 billion dollars in breakup fees.

Paramount Skydance is seeking a trial in November on the state attorneys general effort to block its planned $110 billion purchase of Warner Bros. Discovery, while the states want a hearing in April. Paramount proposed a trial before US District Judge Araceli Martínez-Olguín to begin on November 4, whereas the states requested an April 5 hearing, according to a court filing. California led a group of 12 states in a lawsuit earlier this month to challenge the mega media deal. Paramount last Friday announced it will delay the acquisition until five days after a final court decision or June 2027, whichever comes first, triggering a ticking fee of $0.25 per share, or $650 million per quarter, payable to Warner Bros. shareholders. Paramount called the states' request a stonewalling tactic and said a November trial date is sufficient for both sides to prepare.

Larry Ellison and his family would be on the hook for $9.8 billion if Paramount Skydance Corp.'s deal to buy Warner Bros. Discovery Inc. falls apart. Paramount, run by Larry's son David Ellison, agreed to pay Warner Bros. shareholders a $7 billion termination fee if the deal collapses due to regulatory issues, and in February paid $2.8 billion to Netflix Inc. to get the streaming company to abandon its pursuit of Warner Bros. If the deal does not go through, Larry Ellison and a family trust would reimburse Paramount for both fees by purchasing new Class B shares at $16.02 each, well above the current trading price of about $8 a share. The potential bill is drawing renewed attention after Paramount agreed last week to postpone closing until next June or five days after the resolution of lawsuits seeking to block the merger. Starting October 1, Paramount will also owe Warner Bros. shareholders ticking fees of roughly $650 million a quarter, which would be covered by the Ellisons and their partners if the acquisition is completed.

Paramount Skydance agreed to delay its $110 billion acquisition of Warner Bros. Discovery until as late as June 2027 after a coalition of 12 state attorneys general sued to block the deal. The company filed a court stipulation on July 24 agreeing not to close the transaction until five days after a federal judge rules on the antitrust case or June 1, 2027, whichever comes first. The states, led by California Attorney General Rob Bonta, argue the merger would reduce competition in theatrical film distribution and basic cable channel markets. The deal had previously cleared review by the Department of Justice and European regulators, but state-level opposition has now pushed the timeline far beyond the original September closing target.

The consensus fair value estimate for Paramount Skydance has fallen from $14.57 to $11.79, a roughly 19% decline, reflecting lower revenue growth, net margin, and a higher discount rate. The planned $110 billion Warner Bros. Discovery deal has drawn sharply divided analyst views, with Seaport Research highlighting workable regulatory conditions and a $31 per share cash offer, while Arete slashed its price target to $2 from $14 and moved the stock to Sell, citing high debt costs, restrictive covenants, and challenging media merger history.

Oracle founder Larry Ellison has provided an irrevocable $40.4 billion personal guarantee to back his son David's bid for Warner Bros. Discovery, a component of Paramount Skydance's roughly $110 billion offer. A coalition of 12 state attorneys general has sued to block the merger, arguing it would reduce competition in theatrical distribution and cable licensing, leading to higher prices and fewer films. Meanwhile, Oracle stock has plunged roughly a third in 2026 and nearly half since early June, erasing an estimated $213 billion of Ellison's net worth and dropping him from the world's second-richest person to about eighth. The sell-off reflects market doubts about whether Oracle's heavy AI and cloud infrastructure spending will deliver expected returns, weakening the backstop tied to his Oracle wealth.

Warner Bros. Discovery is back in focus after Paramount Skydance agreed to delay its proposed US$110b acquisition until at least June 2027, following lawsuits from several state attorneys general and the Writers Guild of America. The barrage of merger headlines has weighed on short-term sentiment, with Warner Bros. Discovery's share price down 4.1% over the past week and 9.6% year to date, even as its one-year total shareholder return sits at 91%. At a last close of $25.77, the most followed narrative on Warner Bros. Discovery points to a fair value of $18.17, implying the current price is 41.8% overvalued, while a Simply Wall St discounted cash flow model suggests a fair value of $31.98, indicating the stock is about 19.4% undervalued. The company still carries clear risks, including a current net loss of US$1.74b and the possibility that future profitability or premium price-to-earnings assumptions will disappoint.

Paramount Skydance has agreed to temporarily halt the acquisition process for Warner Bros. Discovery until a federal district court rules on a lawsuit seeking to block the deal. If the plan is delayed and the acquisition is not completed by September 30, Paramount Skydance could face a penalty of about seven million dollars per day. The acquisition plan has drawn a lawsuit from twelve states, including California, which are seeking to block the deal on antitrust grounds, and the federal district court on the 23rd ordered a halt until August 17.

A federal judge has extended the delay of Paramount Skydance's planned $110 billion acquisition of Warner Bros. Discovery until at least August 17. Judge Araceli Martinez-Olguin, who is overseeing the state attorneys general's attempt to block the deal, had previously ordered the companies not to close for 14 days. An August 3 hearing on a preliminary injunction remains scheduled, and the states reported productive discussions with the parties. If the transaction does not close by September 30, Paramount must pay an additional $0.25 per share, or about $650 million per quarter, to Warner Bros. shareholders.

A federal judge in Oakland has barred Paramount Skydance from closing its $110 billion purchase of Warner Bros. Discovery through August 3, after a coalition of states led by California argued the combination would unlawfully decrease competition in film and television. Judge Araceli Martínez-Olguín found the states made a strong showing that the deal would harm competition, accepting their claim that the combined company would control 27% of the market for distributing widely released films. The ruling freezes the transaction pending an August 3 hearing on a preliminary injunction, which could delay closing for months and trigger a ticking fee of roughly $7 million per day past September 30. Warner Bros. Discovery shares fell as much as 4% following the decision, widening the merger arbitrage spread to about 17% against the contracted $31 per share cash payout. The European Commission faces a July 22 deadline on Paramount's proposed remedies, while Britain's culture secretary has indicated she may intervene in what she called an unprecedented union.

A coalition of 12 U.S. states has filed an antitrust lawsuit against the proposed $110 billion merger between Paramount Skydance and Warner Bros. Discovery. Led by California's attorney general, the suit claims the deal would reduce competition in theatrical distribution and raise consumer costs, citing the combined company's projected 27% share of the domestic theatrical distribution market. The merger agreement includes a September 30, 2026 deadline, after which Paramount Skydance could face a 25-cent-per-share quarterly penalty of roughly $650 million, and a $7 billion termination fee if the deal collapses. Both companies are under financial strain, with Warner Bros. Discovery recently reporting a larger-than-expected quarterly loss and CEO David Zaslav selling over two million shares worth about $59.47 million. Some analysts expect the challenge to delay rather than block the merger, arguing traditional media firms need scale to compete with tech giants like Alphabet, Amazon, and Apple.