Warner Bros. Discovery Rejected Three Paramount Offers: Report

• According to a report by CNBC citing sources familiar with the matter, Paramount’s latest offer comprised 80% cash.
• On Tuesday, Warner Bros. Discovery stated that it had received “unsolicited interest” from multiple parties.
• As a result, the company said it would expand its strategic review process with respect to its sale.

Warner Bros. Discovery Inc. (WBD) has reportedly rejected three takeout offers from Paramount Skydance Corp. (PSKY), with the most recent offer coming in at just under $24 a share.

According to a report by CNBC citing sources familiar with the matter, Paramount’s latest offer comprised 80% cash. Warner Bros. Discovery’s shares were up over 2% in Wednesday's opening trade, while Paramount Skydance’s shares were down around 0.1% at the time of writing.

Retail sentiment on Stocktwits around Warner Bros. Discovery was in the ‘bullish’ territory, while users felt ‘bearish’ about Paramount Skydance.

WBD To Expand Strategic Review Process

On Tuesday, Warner Bros. Discovery stated that it had received “unsolicited interest” from multiple parties, according to a report by CNBC. As a result, the company said it would expand its strategic review process with respect to its sale.

The $24 a share offer would be at a premium of nearly 18% from Warner Bros. Discovery’s current share price, which was hovering around $20.6 at the time of writing. It would value the company at $60 billion, while its current market capitalization is at $51 billion.

“It’s no surprise that the significant value of our portfolio is receiving increased recognition by others in the market. After receiving interest from multiple parties, we have initiated a comprehensive review of strategic alternatives to identify the best path forward to unlock the full value of our assets.”

— David Zaslav, CEO, Warner Bros. Discovery

Netflix, Comcast Also Among Interested Parties

Media rivals Netflix Inc. (NFLX) and Comcast Corp. (CMCSA) are also among parties interested in acquiring Warner Bros. Discovery, the report added.

Although Netflix is not interested in acquiring a legacy media business, the report stated that the company does not want Warner Bros. Discovery to be acquired by another buyer at a low price. Comcast is said to be exploring the possibility of acquiring Warner Bros. Discovery, the report added.

WBD stock is up 95% year-to-date, while PSKY stock is up 58%.

Also See: Jamieson Greer Reportedly Calls China's Rare Earth Controls ‘Incredibly Aggressive’

For updates and corrections, email newsroom[at]stocktwits[dot]com.