Warner Bros. Discovery (WBD) has designated Paramount Skydance Corporation’s (PSKY) revised acquisition offer as a superior proposal to its existing agreement with Netflix. The sweetened all-cash bid values WBD at $31.00 per share.
Paramount Skydance pledged to cover the $2.8 billion termination fee WBD would owe to Netflix. PSKY also committed to a $7 billion regulatory termination fee if the deal fails to close due to antitrust hurdles.
Netflix shares rallied as investors speculate the company will decline a bidding war. This development follows the February 19, 2026, expiration of the Hart-Scott-Rodino antitrust waiting period.
Paramount Skydance stated it is now engaging with the WBD board to finalize the transaction.