Finance
Factbox-By the numbers: How the Netflix, Paramount bids for Warner Bros stack up
Published by Global Banking & Finance Review®
Posted on February 10, 2026
4 min readLast updated: February 10, 2026
Quick Summary
Netflix and Paramount Skydance are vying for Warner Bros Discovery, with each offering distinct financial terms and strategic advantages.
Comparing Netflix and Paramount's Bids for Warner Bros Discovery
Comparison of Bids
Feb 10 (Reuters) - Paramount Skydance sweetened its bid for Warner Bros Discovery on Tuesday by offering extra cash for each quarter the deal fails to close after the end of this year and agreeing to cover the breakup fee the HBO owner would owe Netflix if it walked away from their deal.
Financial Overview
Warner Bros chose Netflix as its suitor last year, rebuffing Paramount Skydance's hostile bid.
CEO Insights
Here is how both the bids compare:
Market Impact
Netflix Paramount Skydance
Savings $2 billion to $3 Combined business will
billion in annual execute more than $6
savings billion in cost
synergies
Offer All-cash $27.75 per All-cash tender offer of
share $30.00 per share and a
ticking fee of 25 cents
per share for every
quarter the deal does
not close starting
January 1, 2027
Premium 121.3% to Warner Bros 139% to the undisturbed
Discovery's closing Warner Bros' stock price
price on September 10 of $12.54 as of
September 10
Closing Between 12 months and More than 12 months
18 months
CEOs Co-CEOs Ted Sarandos David Ellison
and Greg Peters
Backers and Debt funding of up to Amended offer is fully
financing $59 billion via Wells financed by an increased
Fargo, BNP Paribas, $43.6 billion of equity
HSBC Bank, along with commitments from the
cash on hand Ellison family and
RedBird Capital
Partners, a personal
guarantee from Larry
Ellison of $43.3
billion, and $54 billion
of debt commitments from
Bank of America,
Citigroup and Apollo.
Other financing partners
include Saudi Arabia's
Public Investment Fund,
Abu Dhabi-based L’imad
Holding Company PJSC,
Qatar Investment
Authority
Value Enterprise value of Enterprise value of $108
$82.7 billion, equity billion, equity value of
value of $72.0 billion $78 billion
Breakup fee Netflix to pay $5.8 Paramount to pay $5.8
billion, Warner Bros billion. It has also
to pay $2.8 billion agreed to cover the $2.8
billion breakup-fee
Warner Bros owes
Netflix. It also said it
would backstop Warner
Bros' planned debt
exchange, eliminating
the risk of a potential
$1.5 billion fee owed to
bondholders and would
grant WBD the same
interim operating
flexibility it
negotiated with Netflix.
Streaming Over 325 million 79.1 million
subscribers
U.S. "I haven't been Trump in a post on Truth
President involved," Trump said Social criticized CBS
Donald in an interview with and its new owners after
Trump's NBC News in February. Paramount was acquired
comments "I must say, I guess by Skydance. He said
I'm considered to be a that since the
very strong president. acquisition, the program
I've been called by 60 minutes has "actually
both sides. It's the gotten worse." In the
two sides, but I've past, however, Trump has
decided I shouldn't be praised Paramount
involved. The Justice Skydance CEO David
Department will handle Ellison, calling him
it." Previously, Trump "great".
has said, "Netflix is
a great company.
They've done a
phenomenal job. Ted is
a fantastic man… They
have a very big market
share and when they
have Warner Bros., you
know, that share goes
up a lot so, I don't
know."
Market cap Valued at $343.98 Valued at $11.45 billion
billion as of closing as of closing price on
price on February 9. February 9.
Assets on Warner Bros' film and All of Warner Bros
the line television studios, Discovery including
videogame IP and film, television,
developers, HBO streaming, gaming and
network and its cable television
content library, and networks including HBO
the HBO Max streaming and CNN.
service.
Source: Company filings, LSEG data, media reports
(Reporting by Zaheer Kachwala, Anhata Rooprai and Arnav Mishra in Bengaluru; Editing by Arun Koyyur and Sriraj Kalluvila)
Key Takeaways
- •Netflix and Paramount Skydance are competing to acquire Warner Bros Discovery.
- •Paramount offers a higher per-share price and additional financial incentives.
- •Both bids include substantial financing from major banks and investors.
- •The acquisition impacts the streaming and entertainment industry significantly.
- •Market valuations and strategic synergies are key factors in the bids.
Frequently Asked Questions about Factbox-By the numbers: How the Netflix, Paramount bids for Warner Bros stack up
1What is market capitalization?
Market capitalization is the total market value of a company's outstanding shares of stock. It is calculated by multiplying the share price by the total number of shares.
2What are cost synergies?
Cost synergies refer to the savings that result from the consolidation of operations, which can occur during mergers or acquisitions. These savings can come from reduced overhead, shared resources, or streamlined processes.
3What is an all-cash offer?
An all-cash offer is a type of bid in which the buyer proposes to pay the entire purchase price in cash, rather than using stock or other forms of payment.
4What is a tender offer?
A tender offer is a public proposal by an investor to purchase some or all of shareholders' shares at a specified price, usually at a premium over the current market price.