Shareholders of Warner Bros. Discovery have approved the company’s proposed acquisition by Paramount Skydance, marking a major step forward in a $110 billion deal that could significantly reshape the global entertainment industry. The approval, announced Thursday, was widely anticipated after both companies’ boards unanimously endorsed the transaction.
The merger would combine two of Hollywood’s most prominent studios under a single corporate structure, bringing together extensive film, television, and streaming assets. “Today’s stockholder approval is another key milestone toward completing this historic transaction,” said David Zaslav, emphasizing the expected value creation for shareholders.
Under the terms of the agreement, Paramount Skydance has offered $31 per share, valuing Warner Bros. Discovery at approximately $77 billion. The deal includes major assets such as Warner Bros. film studios, the HBO Max streaming platform, and cable networks including CNN, TBS, and TNT.
The combined entity would control a vast portfolio of intellectual property. Paramount’s holdings include iconic titles like The Godfather and SpongeBob SquarePants, while Warner Bros. Discovery owns franchises such as Harry Potter and classic films like Casablanca.
Despite shareholder approval, the transaction remains subject to regulatory clearance from U.S. authorities, particularly the antitrust division of the Department of Justice. California Attorney General Rob Bonta is also examining the deal, raising the possibility of legal challenges.
The proposed merger has drawn criticism from lawmakers including Elizabeth Warren and Cory Booker, as well as members of the entertainment industry. More than 4,000 actors, directors, and writers have signed an open letter opposing the deal, warning that further consolidation could reduce competition in an already concentrated media landscape.
Paramount Skydance has rejected these concerns, stating that the merger would enhance competition and expand opportunities for both creators and audiences. CEO David Ellison has pledged to maintain theatrical releases for at least 45 days and produce around 30 films annually, while keeping Warner Bros. Pictures as a standalone operation.
The deal also follows a competitive bidding process in which Netflix withdrew earlier this year. As part of the process, Paramount Skydance agreed to pay Netflix a $2.8 billion termination fee, according to a filing with the U.S. Securities and Exchange Commission.
Further scrutiny has come amid political concerns, including comments from Donald Trump regarding media ownership, though U.S. officials have stated that regulatory review will proceed independently of political considerations.
The merger now enters a critical phase as regulators evaluate its potential impact on competition and the broader media landscape.