Paramount Skydance has strengthened its hostile bid for Warner Bros. Discovery by securing a personal financial guarantee from billionaire Larry Ellison, responding to concerns raised by WBD’s board.
Paramount said Ellison has agreed to provide an irrevocable guarantee covering $40.4 billion in equity financing, along with any potential damages tied to the offer.
Breaking news: Oracle co-founder Larry Ellison has agreed to personally backstop the $40bn equity financing of Paramount’s $108bn hostile bid for Warner Bros Discovery, in an attempt to resolve doubts about the financing of the offer. https://t.co/k4D7dwSyrQ pic.twitter.com/ARZvlK9ZVn
— Financial Times (@FT) December 22, 2025
Ellison has also committed not to alter or transfer assets from the Ellison family trust while the deal is pending.
The bid stands at $30 per share in cash and values WBD at an enterprise value of $108.4 billion. Paramount did not raise its offer but increased its reverse breakup fee to match a competing deal with Netflix.
Paramount has amended its $30 per share all-cash offer for $WBD signaling negotiations are still active rather than stalled.
— Polymarket Money (@PolymarketMoney) December 22, 2025
At the same time, $NFLX lined up $25B in financing tied to the Warner Bros. Discovery deal, including a $5B revolver and $20B in term loans showing the… pic.twitter.com/FEnVqt94Wb
Earlier this month, WBD agreed to sell its studio and streaming assets to Netflix in a deal valued at about $83 billion. WBD’s chairman previously questioned whether Ellison’s backing would hold through closing.
WBD shares rose 4 percent in premarket trading, while Paramount shares gained 2 percent.
Also read:
TIPP Staff
TIPP Staff
