Kristina Roberts
The Hollywood business world is buzzing once again. This time, two of the biggest entertainment giants — Warner Bros. Discovery and Paramount Global — are at the center of attention. Recently, Paramount tried to buy Warner Bros., but things didn’t go as planned. Warner Bros. Discovery rejected the offer, saying the price was simply not enough for a company of its size and value.
According to people familiar with the talks, Paramount offered to buy Warner Bros. at about $20 per share. However, Warner Bros. felt this offer undervalued its true worth and decided to turn it down. Both companies have kept quiet about the details because the discussions are private, but sources close to the matter confirmed that Warner Bros. found the offer too low.
At the end of the week, Warner Bros.’ shares closed at $17.10, giving it a total market value of around $42.3 billion. Paramount’s shares, meanwhile, stood at about $17, giving the company a value of $18.6 billion. This shows that Warner Bros. Discovery is more than twice the size of Paramount in market value.
Even though Warner Bros. refused the first offer, Paramount doesn’t seem ready to give up. The company, now led by David Ellison, is looking at different ways to keep the deal on track. Ellison, who took over Paramount after completing an $8 billion merger with his own company, Skydance Media, has big plans for the future of the entertainment group. Skydance has already produced famous movies and shows, and Ellison hopes to use that experience to make Paramount stronger.
Now, Paramount is considering several next steps. One option is to increase its bid — in other words, to offer Warner Bros. more money per share to make the deal more attractive. Another possibility is for Paramount to go directly to Warner Bros. shareholders, trying to convince them to support the deal even if the company’s management is against it. A third plan could involve finding new financial partners who can help Paramount raise more funds to sweeten its offer.
According to Bloomberg News, Paramount has already been in early talks with Apollo Global Management, a well-known investment company, about possibly joining forces to finance the takeover attempt. If Apollo agrees to help, it could give Paramount more financial strength to make a better offer that Warner Bros. might actually consider.
While neither company has made any official public comment, reports say that disagreements over price remain the main reason the deal hasn’t moved forward. Some sources say Paramount might even make its offer public to put pressure on Warner Bros. and encourage its shareholders to speak up. This strategy is sometimes used in big mergers to influence decisions when private negotiations stall.
David Ellison has not spoken directly about Warner Bros., but he gave some interesting hints recently. Speaking at the Bloomberg Screentime Conference, he said he couldn’t discuss any specific companies, but he did emphasize that the entertainment industry needs more partnerships and mergers to stay strong. His words seemed to point toward his belief that combining companies like Paramount and Warner Bros. could help them compete better in today’s tough streaming and media market.
It’s easy to understand why Paramount wants Warner Bros. Discovery. Warner Bros. owns some of the biggest names in entertainment, including HBO, CNN, and Warner Bros. Studios, which have produced blockbuster movies and hit TV shows for decades. Having these under the Paramount umbrella would give Ellison’s company a much larger library of content, stronger streaming power, and global reach.
On the other hand, Warner Bros. Discovery has been focusing on stabilizing its own business. After years of high debt and several business challenges, the company has been planning a possible split into separate parts — one for entertainment and one for news or streaming. This plan might be one reason why Warner Bros. is not rushing into a merger right now. The company’s leadership likely believes that it can grow and increase its value once this business reorganization is complete.
If Paramount truly wants the deal, it will need to prove that joining forces would benefit both sides. So far, Warner Bros. seems confident that it can manage on its own, but money often changes minds in the corporate world. If Ellison decides to raise his offer — perhaps closer to what Warner Bros. thinks it’s worth — the conversation could reopen.
For now, both companies are staying silent in public. However, industry experts believe this is not the end of the story. Large media mergers often take months or even years to finalize, with many ups and downs along the way. The entertainment industry is under increasing pressure as streaming platforms like Netflix, Disney+, and Amazon Prime Video continue to dominate viewers’ attention. This competition pushes older media companies like Paramount and Warner Bros. to look for new ways to grow — and sometimes, that means joining forces.
It’s interesting to note that this isn’t the first time big Hollywood studios have considered teaming up. Over the past decade, several major deals — such as Disney buying 21st Century Fox — have completely changed how the entertainment industry looks today. If Paramount and Warner Bros. were to unite, it could become one of the largest media mergers in modern history, creating a powerful new player capable of challenging the top streaming giants.
But for now, Warner Bros. Discovery seems to be standing firm. The company believes that its true value is higher than what Paramount offered, and it’s not willing to sell for less. As for Paramount, all eyes are on David Ellison to see whether he will increase the bid, find new partners, or come up with another creative strategy to convince Warner Bros. to join hands.
Only time will tell whether this story ends in a partnership or a standoff. But one thing is clear — the battle for Hollywood’s future is heating up. As companies fight to stay ahead in the race for content, creativity, and global reach, every move counts. And right now, Warner Bros. Discovery has made its position clear: it’s not ready to be bought so easily.
