Paramount Skydance has now initiated what insiders are calling “Plan D” as they look to upend Netflix's “winning” bid for Warner Bros. Discovery, The Post has learned.
Netflix is rated a buy, driven by robust execution, network effects, and margin expansion, assuming no Warner acquisition. NFLX's ad-supported tier and live events are key growth drivers, enhancing user retention, data generation, and monetization opportunities. Content spend growth remains below revenue and EBIT growth, supporting scalable margins and a strong free cash flow outlook.
On the day that Warner Bros. Discovery's board announced its rejection of Paramount's latest bid, the David Ellison-led conglomerate took its argument to Capitol Hill. In a letter filed with a House Judiciary antitrust subcommittee on Wednesday, Paramount's chief legal officer, Makan Delrahim, wrote to lawmakers that the Netflix-WBD combination was “presumptively unlawful.
Paramount Skydance continues to embrace the “if at first you don't succeed” approach in its ongoing pursuit of Warner Bros. On Wednesday, the latter said it would pass on the latest offer from David Ellison's conglomerate—but left the door open wide enough that Paramount appears to believe it still has a shot.
Some of Warner Bros Discovery's biggest investors are split on Paramount Skydance's sweetened offer for the storied movie studio owner, giving the smaller media company a fighting chance at winning over shareholders.
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