Netflix is reportedly emerging as the leading contender to buy Warner Bros. Discovery, with the two companies now said to be in exclusive negotiations on a deal priced at around $28 per share, according to several U.S. media reports.
If it goes through, the acquisition would be one of the biggest shake-ups the entertainment and streaming world has seen.
Warner Bros. Discovery the parent company of HBO, CNN, and the Warner Bros. film studio put itself on the market in October after receiving multiple unsolicited offers. That decision paused an earlier plan to split the company into two units: one focused on streaming and studios, and another centered on traditional cable networks.
Paramount, recently taken over by the billionaire Ellison family behind Oracle, had initially shown strong interest in buying the company. But Netflix has now pulled ahead in the second round of bidding, competing with both Paramount’s Skydance-backed bid and Comcast, which owns NBCUniversal. Sources told Bloomberg that talks continued even over Thanksgiving weekend. CNN reported that Paramount’s offer was close about $27 per share.
Bloomberg also reported that Netflix and Warner Bros. Discovery have begun exclusive discussions over the sale of the company’s TV and movie studios, along with HBO Max. Netflix, which has more than 280 million subscribers worldwide, is reportedly arranging a massive bridge loan worth tens of billions of dollars to fund the purchase and bolster its already huge content operation. If the deal happens, Netflix would gain major assets, including HBO, Warner Bros. studios, CNN, and a vast catalog of premium titles.
Still, analysts warn that regulators in the U.S. and abroad would likely subject the deal to tough antitrust review, given how dramatically it could reshape the industry.
Some major Hollywood figures are already voicing concerns. “Titanic” director James Cameron said on The Town podcast that Netflix buying Warner Bros. would be “a disaster,” arguing that Netflix might limit theatrical releases to push more streaming exclusives.
So far, neither Netflix nor Warner Bros. Discovery has publicly commented on the reports.
