In a joint statement, co-CEOs Ted Sarandos and Greg Peters said that while the proposed transaction could have created shareholder value and had a clear path to regulatory approval, the price required to match Paramount Skydance’s offer made the deal financially unattractive.
Netflix, Inc. announced that it will not increase its bid for Warner Bros. following notification from Warner Bros. Discovery that the Board of Directors has deemed Paramount Skydance’s latest proposal a “Superior Proposal” under the terms of WBD’s existing merger agreement with Netflix.
In a joint statement, co-CEOs Ted Sarandos and Greg Peters said that while the proposed transaction could have created shareholder value and had a clear path to regulatory approval, the price required to match Paramount Skydance’s offer made the deal financially unattractive. As a result, Netflix has declined to increase its bid.
The company expressed gratitude to Warner Bros. leadership, including David Zaslav, Gunnar Wiedenfels, Bruce Campbell, Brad Singer, and the Board for conducting a fair and rigorous process. Netflix noted that it believed its acquisition would have strengthened Warner Bros.’ iconic brands, enhanced the entertainment industry, and preserved and created U.S. production jobs, but emphasized that the deal was “nice to have” rather than essential at any price.
Netflix reaffirmed the strength of its own business, highlighting its ongoing organic growth powered by its streaming slate. The company plans to invest approximately $20 billion this year in films and series and expand its entertainment offerings. In line with its capital allocation strategy, Netflix also announced it will resume its share repurchase program.
The company concluded by committing to continue its long-term strategy of delighting subscribers, growing profitably, and driving shareholder value, maintaining its focus on core streaming operations and content production.
