Bloomberg: Netflix makes an offer Warner Bros. will find hard to refuse
The fierce battle for the right to purchase the assets of the media giant Warner Bros. Discovery continues. Previously, the main contender was Paramount Skydance, but after its offer was rejected, Clash of the Titans: Apple, Netflix, and Amazon, alongside Paramount, are interested in acquiring Warner Bros. Discovery.
The interest in Warner Bros. is not so much about the film studio and its infrastructure as it is about the super popular franchises, which include Harry Potter, DC Comics Universe, The Matrix, Mad Max, Scooby-Doo, The Lord of the Rings, and Game of Thrones.
The Bloomberg news agency shared new details about the negotiations.
What is known
Now, the entertainment industry giant Netflix is the main contender for the purchase of Warner Bros.
It is reported that the companies are actively negotiating, and if they are successful, an official merger statement may be announced soon.
Bloomberg journalists know that Netflix's offer surpasses the terms of Paramount Skydance and Comcast, and Warner Bros. will find it hard to refuse. Moreover, Netflix is so interested in the deal that it is offering a $5 billion compensation if regulators do not approve it.
Thus, Netflix may become the absolute monopolist in the streaming services segment, as in addition to its own platform, it will also gain possession of HBO Max, whose content is of high quality and attracts hundreds of millions of viewers.
It is also mentioned that Warner Bros. plans to separate the cable channels CNN, TBS, and TNT into a separate structure, probably to sell them separately from other assets if Netflix is not interested in them. It is possible that the same applies to numerous gaming studios owned by Warner Bros.
The holding is valued at $60 billion, but obviously, Netflix will have to offer a higher amount. If the deal takes place, it will be the largest in Netflix's history.
Source: Bloomberg
