Paramount Skydance Sweetens WBD Bid With Larry Ellison’s $40.4 Billion Personal Guarantee
Oracle co-founder steps in to back the all-cash offer as Warner Bros. Discovery continues to back its Netflix deal
On The Move
In a dramatic escalation of the takeover battle for Warner Bros. Discovery (WBD), Paramount Skydance has said that Oracle co-founder Larry Ellison will personally guarantee $40.4 billion in equity financing to support its $108.4 billion all-cash acquisition bid, according to multiple media reports.
The disclosure comes just days after WBD’s board urged shareholders to reject Paramount Skydance’s hostile offer, calling it “inferior” and “inadequate,” and questioning whether the financing was fully secured by the Ellison family.
Ellison Steps Forward to Bolster Credibility
Paramount Skydance has now pushed back, asserting that its proposal is “superior” and clarifying that Larry Ellison has agreed to provide an irrevocable personal guarantee covering $40.4 billion of the equity financing. The guarantee would also extend to any potential damages claims against Paramount arising from the transaction.
Ellison, one of the world’s wealthiest businessmen, is the father of David Ellison, CEO of Paramount. His direct involvement is being positioned as a move to strengthen confidence around the certainty of funds one of the key concerns flagged by the WBD board.
Why WBD Is Still Saying No
On December 17, Warner Bros. Discovery had indicated it was preparing to formally advise shareholders to reject Paramount Skydance’s bid, citing uncertainties around financing assurance, regulatory hurdles, and the overall deal structure.
The board maintained that Paramount’s offer does not match the value or execution certainty of WBD’s existing agreement with Netflix.
Earlier this month, Netflix announced it would acquire Warner Bros. Discovery in a cash-and-stock transaction valuing the company at $27.75 per share, translating to a total enterprise value of approximately $82.7 billion.
Netflix Deal Timeline Remains Intact
The Netflix–WBD transaction is expected to close after the planned separation of WBD’s Global Networks business. Discovery Global, which will be spun off as a separate publicly traded company, is now expected to complete its listing by Q3 2026.
For now, WBD appears firmly committed to the Netflix path even as Paramount Skydance ups the stakes with one of Silicon Valley’s biggest names personally putting skin in the game. The battle, clearly, is far from over.
