Paramount Skydance Sweetens Warner Bros. Discovery Bid to $32 Per Share with $2.5 Billion Breakup Fee

Paramount Skydance is reportedly escalating its takeover bid for Warner Bros. Discovery to $32 per share. Warner Bros. Discovery set a deadline of February 23 for Paramount to submit its final offer. This deadline expires at 11:59 PM EST.

The revised proposal includes an escalating compensation fee of at least $650 million per quarter. This payment triggers if regulatory approval for the deal is not secured by 2026.

Paramount also committed to covering a $2.5 billion breakup fee that Warner Bros. Discovery might owe to Netflix under certain conditions. These terms aim to provide additional security to Warner Bros. shareholders during the negotiation process.