Shutterstock image
Skydance Media Reportedly Nearing Deal to Acquire Paramount Global
June 3, 2024
Skydance Media reportedly appears close to acquiring Paramount Global, with assets that include Paramount Pictures, Paramount+, CBS and Showtime, in a deal worth around $8 billion.
Santa Monica, Calif.-based Skydance, owned by David Ellison, in April announced a tentative deal with Shari Redstone, whose family-held National Amusements owns about 80% of Paramount Global. That deal came under pressure when Sony Pictures, together with Apollo Capital Management, reportedly offered $26 billion — though Sony appeared to be losing interest in the acquisition.
Then media reports on Sunday said Skydance had sweetened the offer with an option for select nonvoting Paramount shareholders to cash out their stakes at $15 per share — a 26% premium on the stock’s $11.91 closing price on May 31.
Now David Faber, host of CNBC’s morning business show “Squawk on the Street” June 3 said he expects a deal to be announced in the next 24 hours to 48 hours, citing sources.
Faber said Redstone would get $2 billion in cash for National Amusements, with Skydance tendering an offer for 50% of Paramount Global B shares at $15 each. Skydance and private-equity firm RedBird Capital Partners would contribute $1.5 billion in cash to Paramount’s balance sheet, with Skydance and RedBird owning 66% of the company, and Class B shareholders the other 33%.
Subscribe HERE to the FREE Media Play News Daily Newsletter!