NEW YORK CITY, New York: Warner Bros Discovery has drawn interest from three of its biggest Hollywood rivals, receiving preliminary buyout offers that signal the start of a potential megadeal that could reshape the entertainment landscape, a source familiar with the matter said on Thursday.
Paramount Skydance, Comcast, and Netflix have all submitted early bids for the owner of HBO, the Warner Bros film library, and the DC Comics universe. The offers mark the opening round of what could become one of the most significant consolidation moves the industry has seen in years.
Paramount is expected to pursue a complete acquisition of Warner Bros Discovery, including its cable networks. The studio's bid is backed by controlling shareholder Larry Ellison, the billionaire Oracle co-founder. A successful deal would give Paramount an estimated 32 percent share of the North American theatrical market, according to Comscore, and bolster its streaming strategy by pairing HBO Max with Paramount+.
Reuters previously reported that Warner Bros Discovery's board rejected a primarily cash offer of nearly US$24 per share, valuing the company at $60 billion, and has begun publicly exploring strategic options for the business.
Comcast, the parent company of NBCUniversal, has expressed interest in Warner Bros' film and television studios as well as HBO. Adding iconic characters like Superman and Batman could reinforce its theatrical slate, strengthen its streaming service, and enhance its theme-park franchises. A combined studio would command more than 43 percent of the North American box-office market, Comscore estimates.
Netflix is also pursuing Warner Bros Discovery's studio and streaming operations, attracted by its deep content library and globally recognized franchises such as "Harry Potter", "The Lord of the Rings", and DC Comics. The catalogue would significantly expand Netflix's intellectual property portfolio as competition intensifies in streaming.
Warner Bros Discovery has already announced plans to split itself into two publicly traded companies, separating the studio and streaming assets from its declining cable networks. The preliminary bids come as the company evaluates those plans and other alternatives.
Warner Bros Discovery declined to comment. Paramount Skydance and Comcast also declined to comment, while Netflix could not immediately be reached. The New York Times first reported the bidding activity.
