Netflix and Paramount Clash in Hollywood's Epic Bidding War for Warner Bros

Netflix plans an all-cash offer for Warner Bros Discovery's studios and streaming operations, sparking a fierce bidding war with Paramount. Despite Paramount's higher cash offer, Warner Bros prefers Netflix's bid. Political and industry concerns rise as the deal potentially reshapes the media landscape.

Netflix is gearing up to make an all-cash bid for Warner Bros Discovery's studios and streaming assets, according to a source speaking with Reuters.

This move aims to facilitate a swift sale process, anticipated to take months, amid opposition from rival bidder Paramount Skydance and some politicians. Bloomberg initially broke the news, with Warner Bros and Netflix declining to comment.

Warner Bros prefers Netflix's $82.7 billion offer, which includes cash and stock, over Paramount's $108.4 billion cash proposal supported by significant debt financing. Despite a $40 billion equity backing from Larry Ellison, Warner Bros sees Paramount's bid as risky and inadequate. The high-stakes bidding battle involves coveted franchises like "Harry Potter" and "Game of Thrones."

(With inputs from agencies.)