Clash of the Titians, Netflix responds to Warner Bros. Discovery board endorsement of merger deal

Netflix Inc. (NFLX) welcomed the Warner Bros. Discovery board’s recommendation for stockholders to approve the streaming company’s acquisition proposal over a competing offer from Paramount Skydance Corporation.

The Warner Bros. Discovery board urged stockholders to reject Paramount Skydance’s unsolicited tender offer launched December 8, 2025, after reviewing it with independent financial and legal advisors. The board reaffirmed its support for Netflix’s merger agreement, calling it a superior alternative for stockholders.

Netflix announced December 5 a definitive agreement to acquire Warner Bros., including its film and television studios, HBO Max and HBO, for $27.75 per Warner Bros. Discovery share. The transaction carries a total enterprise value of approximately $82.7 billion and equity value of $72.0 billion through cash and stock.

“The Warner Bros. Discovery Board reinforced that Netflix’s merger agreement is superior and that our acquisition is in the best interest of stockholders,” said Ted Sarandos, Netflix co-CEO, according to the press release.

Netflix co-CEO Greg Peters stated the company remains committed to releasing Warner Bros. films in theaters with traditional windows, allowing audiences to view them on big screens before streaming availability.

The transaction includes Warner Bros. Discovery stockholders receiving additional value from the planned separation of the company’s Global Linear Networks business, Discovery Global, scheduled for the third quarter of 2026.