Paramount sues Warner Bros. Discovery seeking Netflix transparency

The move comes after WBD opted to pursue a separate deal with Netflix. Paramount is now urging WBD shareholders to consider its higher-value offer.

Paramount plans to nominate directors for WBD’s 2026 annual meeting who would advocate for Paramount’s proposal and push for shareholder approval.

The company also intends to propose an amendment requiring shareholder consent for any separation of WBD’s Global Networks. Paramount warns it may solicit proxies against the Netflix transaction if a special meeting is called.

Paramount has filed suit in Delaware Chancery Court to demand WBD provide detailed financial disclosures. Paramount argues that shareholders lack essential information to evaluate the Netflix deal, including the value of Netflix shares and Global Networks equity offered in that transaction.

In its letter to shareholders, Paramount claims its $30 per share cash bid is financially stronger than Netflix’s complex combination of cash, stock, and spin-off equity, which Paramount contends may have little or no value. Paramount calls for constructive discussions with WBD’s board but stresses its commitment to ensuring shareholders can make an informed choice.

Earlier, Qazinform News Agency reported that Netflix agreed to purchase Warner Bros. Discovery in a major transaction valued at an enterprise total of about $82.7 billion.