Despite repeated rejections from Warner Bros. Discovery, Paramount continues to pursue a buyout of the company and has now sweetened its bid for the entertainment giant in an attempt to convince WBD shareholders to drop Netflix and go with Paramount instead.
Paramount’s revised offer, announced on February 10, includes a $0.25 per share “ticking fee,” payable to WBD shareholders for each quarter during the deal process that the buyout is not closed after December 31, 2026. Paramount said such an offer underscores the company’s “confidence in the speed and certainty of regulatory approval” for the proposed buyout.
The $0.25 per share works out to about $650 million for each quarter the deal isn’t closed after the end of December 2026. What’s more, Paramount said it will pay the $2.8 billion termination fee to Netflix that the streaming company would be on the hook for if the deal doesn’t materialize. Paramount also said it would offer “solutions to WBD’s debt financing costs and obligations.”
