Netflix exits fight for Warner after rival bid

In a statement issued on Feb. 26, co-chief executives Ted Sarandos and Greg Peters said the company would not match the latest bid.

“The transaction we negotiated would have created shareholder value with a clear path to regulatory approval. However, we've always been disciplined, and at the price required to match Paramount Skydance's latest offer, the deal is no longer financially attractive, so we are declining to match the Paramount Skydance bid,” the Netflix executives noted.

The executives emphasized that the potential acquisition was a strategic opportunity, not an essential move at any cost:

“We believe we would have been strong stewards of Warner Bros.' iconic brands, and that our deal would have strengthened the entertainment industry and preserved and created more production jobs in the U.S. But this transaction was always a 'nice to have' at the right price, not a 'must have' at any price.”

They thanked Warner Bros. Discovery leaders, including David Zaslav, Gunnar Wiedenfels, Bruce Campbell and Brad Singer, as well as the board, for what they called a fair and rigorous process.

Netflix said its core business remains strong and continues to grow organically. The company plans to invest about $20 billion this year in films and series while expanding its entertainment offering. It also intends to resume its share repurchase program in line with its capital allocation policy.

Earlier, Qazinform News Agency reported that Warner Bros. said revised Paramount bid could lead to superior proposal.