Paramount Skydance completes $110‑$111 billion merger with Warner Bros. Discovery, forming Skydance
Paramount Skydance Corp finalized a merger with Warner Bros. Discovery in early October 2026, creating a new entertainment conglomerate that will trade under the ticker SKYD. The deal was valued at $110 billion in most reports, with one source citing $111 billion, and was completed after settlements with U.S. states and a writers union. David Ellison will serve as CEO alongside co‑CEO Ynon Kreiz, and the combined company will own major film studios, TV networks and news outlets such as CNN and CBS.
Why it matters
The merger reshapes the media landscape, reducing the number of major studios to four and creating a competitor to Disney, Netflix and big‑tech platforms. Analysts note that the new entity inherits about $80 billion of debt and plans $6 billion in cost savings, which could affect cash flow and valuation for shareholders. The stock of the former PSKY fell 4% on the day the merger cleared.
Key facts
- 1The transaction was valued at $110 billion. san.com
- 2One report listed the deal value as $111 billion. gurufocus.com
- 3Warner Bros. Discovery shareholders received a $31 per share offer. gurufocus.com
- 4A $2.8 billion breakup fee was paid to Netflix after its competing bid. gurufocus.com
- 5Warner Bros. shareholders received an additional $41.9 million ticking fee. storyboard18.com
- 6The combined company plans $6 billion in savings and expects revenue of $67 billion by 2028. slguardian.org
Summary written by AlphAI from 6 of 6 sources. Not investment advice. Figures are as stated by the linked sources.