Netflix Changes to an All-Cash Offer for Warner Bros. Discovery

Netflix has amended its merger agreement with Warner Bros. Discovery to an all-cash transaction that pays $27.75 per WBD share. The revised structure keeps the overall enterprise valuation near $82.7 billion while WBD stockholders will also receive shares in a separated company, Discovery Global. The two boards have unanimously approved the amendment and WBD has filed a preliminary proxy statement to speed a stockholder vote. A vote is expected in April 2026, and the companies have said the deal will be financed with cash on hand, available credit facilities and committed financing.

Paramount and Skydance launched a competing hostile offer that proposes $30 per share for the whole of Warner Bros. Discovery. Estimates put that proposal at roughly $108.4 billion when debt is included, or about $77.9 billion on a cash-only basis. While the bids progress, both transactions are subject to significant regulatory review and antitrust scrutiny; HSR filings have been submitted and the DOJ and European Commission are being engaged. The amended Netflix agreement notes closing is expected 12–18 months from the original merger agreement date, and shareholders and regulators will decide the path forward.