Paramount Sky Dance launches all cash tender to acquire Warner Bros. for $30/share

• Paramount Skydance (PSKY) launched an all-cash tender offer to acquire Warner Bros Discovery (WBD) for $30 per share.

• The proposed deal values WBD at $108.4 billion.

• The offer covers 100% of WBD, including its global networks segment.

• Paramount has taken the offer directly to WBD shareholders.

• Equity financing will be backstopped by the Ellison Family and RedBird Capital, with additional debt fully committed by Bank of America, Citi, and Apollo.

• Paramount argues the Netflix transaction provides WBD shareholders with inferior and uncertain value.

• The offer is not subject to any financing conditions.

• Paramount will submit a premerger notification filing today under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.

David Ellison (CEO of Paramount Skydance) is on CNBC touting his offer in relation to Netflix saying that the all-cash is a game changer.

• Says that he believes Pres. Trump is in favor of competitiveness
• if this deal is aloowed to pass it is anticompetitive and horrible for Hollywood
• We believe that what we offer is better for Hollywood and better for the customers
• Absolutely it would be beneficial for Hollywood.
• We will bring 30 movies per year to the big screen

This article was written by Greg Michalowski at investinglive.com.