Larry Ellison, one of the world’s richest men, has stepped in with a $40.4bn personal guarantee to shore up Paramount Skydance’s $108bn takeover bid for Warner Bros Discovery, escalating a high-stakes battle with Netflix for control of some of Hollywood’s most valuable franchises.
Paramount Skydance, led by David Ellison, confirmed that Ellison would provide an “irrevocable personal guarantee” covering the equity financing element of the bid, as well as any potential damages claims. The move is designed to address concerns from Warner Bros Discovery’s board, which last week urged shareholders to reject the offer, arguing it was inadequately backed.
The board has instead recommended a rival $82.7bn proposal from Netflix for Warner’s studios and streaming assets. Paramount, however, insists its bid represents superior value, offering Warner shareholders $30 per share for the entire business, including its global television networks.
As part of the revised terms, Ellison has agreed not to revoke or materially alter the Ellison family trust during the transaction period. Paramount also said it would publish records confirming that the trust holds around 1.16bn shares in Oracle, worth approximately $223bn as of December 19, alongside full disclosure of material liabilities.
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