Warner Bros. Discovery says new Paramount bid could best Netflix offer

Warner Bros. Discovery said Tuesday that Paramount Skydance’s revised bid for the entire company, including its cable networks. “could reasonably be” considered a superior offer compared to Netflix’s deal for its studio and streaming business.

The updated offer, submitted late Monday after a seven-day extension period approved by Netflix, raises the purchase price to $31 a share from $30 and adds a ticking fee if the deal drags beyond late 2026. The proposal also includes a $7 billion reverse termination fee if regulators block the deal, along with reimbursement for Warner Bros. Discovery’s potential breakup cost with Netflix.

“The Board has not made a determination as to whether the revised PSKY proposal is superior to the merger with Netflix,” WBD said in a news release, adding it will ” engage further” with PSKY to determine if a proposal is actually superior.

Netflix still has the opportunity to match the bid. The company did not immediately respond to a request for comment.

In December, Netflix announced a $72 billion deal to acquire Warner Bros. Discovery’s film studio, along with HBO and the HBO Max streaming service.