Paramount Skydance has renewed its pursuit of Warner Bros. Discovery with an amended all-cash offer that seeks to address concerns raised by the studio’s board earlier this month. The revised proposal adds a new element: a personal financial guarantee from Larry Ellison, who has committed to backing the deal with more than $40 billion in equity financing.
According to a statement released by Paramount on Monday, Ellison has agreed to provide an irrevocable personal guarantee covering $40.4 billion of the equity portion of the offer, as well as any potential damages claims related to the transaction. While the equity financing itself had already been part of Paramount’s earlier bid, the explicit personal guarantee from Ellison represents a change in structure and appears aimed at reinforcing the credibility of the funding.
The move comes shortly after Warner Bros. Discovery rejected Paramount’s initial bid, instead favoring an agreement announced on December 5 with Netflix. That deal would see Netflix acquire Warner Bros. Discovery through a combination of cash and stock valued at $27.75 per share, placing the total enterprise value of the transaction at approximately $82.7 billion.
Paramount responded to the Netflix agreement with a hostile bid just days later, offering $30 per share in an all-cash deal valued at roughly $108.4 billion. The Warner Bros. Discovery board dismissed that offer, describing it as “illusory” and expressing concerns about how the acquisition would be financed. At the time, the board emphasized that the Netflix agreement involved binding commitments and did not rely on external equity financing.
Paramount now says the revised proposal is intended to directly address those objections. By adding Ellison’s personal guarantee, the company is attempting to remove uncertainty around funding and strengthen its case that the offer is fully financed. Reporting earlier this year from CNBC indicated that Warner Bros. Discovery had already rejected multiple takeover attempts from Paramount before entering talks with Netflix.
David Ellison, CEO of Paramount Skydance and Larry Ellison’s son, reiterated that the company views its $30-per-share offer as superior in terms of shareholder value. He argued that Paramount’s proposal would provide greater long-term flexibility for investment and content output, though these claims remain subject to the board’s assessment and regulatory review should the deal advance.
At this stage, the outcome remains uncertain. Warner Bros. Discovery must weigh a higher cash offer with added financing assurances against a previously announced agreement with Netflix that the board has already endorsed. The competing bids highlight broader tensions in the media industry, where consolidation pressures continue to reshape ownership of legacy studios amid shifting economics in streaming and theatrical distribution.
