Netflix to absorb Warner Bros. and HBO in $82.7 billion deal
Netflix has agreed to purchase Warner Bros. Discovery in a major transaction valued at an enterprise total of about $82.7 billion, outbidding Paramount and Comcast after a competitive bidding process, Qazinform News Agency correspondent reports.
Netflix and Warner Bros. Discovery announced Friday that they had signed a definitive agreement for the acquisition, which includes Warner Bros.’ film and television studios, HBO, and HBO Max. The deal is structured as a cash-and-stock transaction valued at $27.75 per WBD share, subject to a collar.
Netflix co-CEO Ted Sarandos said the merger will strengthen the platform’s global entertainment offerings by integrating Warner Bros.’ extensive catalog, which spans classic titles and modern franchises. Warner Bros. Discovery CEO David Zaslav noted that the studio’s century-long legacy would continue under the combined structure.
The agreement excludes WBD’s global networks division. CNN, TNT Sports, and other networks will be separated into a new publicly traded company, Discovery Global.
The merger will undergo federal regulatory review before final approval.
Earlier, Qazinform News Agency reported that Netflix lost about $15 billion in market capitalization in just over a day after billionaire Elon Musk urged users to cancel their subscriptions, criticizing what he described as the platform’s “woke” content.
