Bidding War Erupts Again: Paramount Skydance Tops Netflix in Race for WBD

Just when Netflix appeared to have secured its blockbuster acquisition of Warner Bros. Discovery (WBD), the takeover battle has dramatically flared up once again. Paramount Skydance has surged back into the race with a massive $108.4 billion bid, reopening a competition many in the industry believed had already been settled. Paramount’s fresh proposal not only tops Netflix’s financial offer but also includes a $5.8 billion break-up fee payable to Netflix should WBD exit its recently signed agreement. The revised bid values WBD at $30 per share, comfortably exceeding Netflix’s nearly $28 per share offer and resetting expectations for the final outcome of the deal.

Since September, Paramount has made several attempts to secure the studio giant, though Netflix had recently emerged as the leading contender. Just last week, Netflix and WBD formally announced a definitive agreement valued at $82.7 billion, structured as a cash-and-stock acquisition priced at $27.75 per share. The transaction was expected to close following the spin-off of WBD’s Global Networks division in Q3 2026.

Netflix’s acquisition was seen as a transformative union combining its global streaming dominance with Warner Bros.’ century-old studio legacy and prized content assets including HBO, HBO Max, and Warner’s film and television studios. Under the deal, an unmatched catalogue of titles such as The Big Bang Theory, The Sopranos, Game of Thrones, The Wizard of Oz, and the DC Universe would have joined Netflix megahits like Wednesday, Money Heist, and Bridgerton, reshaping the competitive dynamics of the entertainment industry.

However, with Paramount Skydance’s dramatic comeback, the contest is wide open again. The renewed bidding war places WBD at the centre of one of the most closely watched M&A battles in modern entertainment history, with investors, creators and audiences now waiting to see which media giant ultimately claims the studio crown.