Paramount-Warner Bros. merger moves forward after judge approves settlement

Paramount Skydance and Warner Bros. Discovery expect their merger to close on October 6, 2026. Eligible shareholders will receive $31.01666668 per share, including a daily prorated amount. The final cash consideration depends on the closing date, according to the merger agreement.

A federal judge approved a settlement, clearing Paramount's $110B acquisition of Warner Bros. Discovery. The deal, set to close Oct. 6, includes commitments to theatrical releases and editorial independence. Paramount secured $50.4B in debt financing and named Ynon Kreiz as co-CEO.

Paramount Skydance (PSKY) priced a $30.5B debt package, including notes maturing up to 2066, to fund its $110B acquisition of Warner Bros. Discovery (WBD). The deal includes term loans and notes in USD and EUR. PSKY stock rose 0.7%, WBD up 0.3%. A judge approved the settlement, clearing a legal hurdle. The deal is expected to close Oct. 6.

Warner Bros. Discovery (WBD) rose 0.32% after a judge cleared its $110B acquisition by Paramount Skydance. Hewlett Packard Enterprise (HPE) climbed 4% on raised revenue growth outlook and a $1.2B deal. CrowdStrike (CRWD) gained 0.77% amid AI-driven cybersecurity demand. WBD, HPE, and CRWD hit 52-week highs.

Paramount Skydance (PSKY) plans to sell $42B in debt to finance its acquisition of Warner Bros. Discovery (WBD). The debt includes $30B in senior secured first lien notes and $11.4B in second lien notes, with interest rates ranging from 6.30% to 9.125%. The sale is expected to close in October 2026. The company also priced an $8.5B term loan facility, with tranches maturing in 2033.

A federal judge approved Paramount Skydance's $111B acquisition of Warner Bros. Discovery, dismissing a lawsuit by 12 Democratic attorneys general. The merger combines iconic studios and media assets, with Paramount Skydance agreeing to produce 30-32 movies annually for the first five years.