Warner Sets March 20 Vote on Netflix Merger Amid Renewed Paramount Talks

Warner Bros. Discovery has scheduled a special shareholder meeting for March 20 to vote on its proposed merger with Netflix, underscoring the board's unanimous recommendation to approve the deal. Concurrently, Warner has reopened discussions with Paramount Skydance, inviting a competing offer after Netflix granted temporary authorization for Warner to seek clarifications and a final proposal from Paramount by February 23. However, Netflix retains the contractual right to match any alternative bids.

Despite the revived talks, Warner’s board continues to advise shareholders to reject Paramount’s current offer in favor of the Netflix merger, citing the latter’s regulatory and financial predictability and reduced financing risk. Paramount informally suggested a potential offer of $31 per share, though no formal agreement has been reached. Warner has requested a binding proposal from Paramount detailing financing terms, capital contributions, and revisions to clauses that might limit Warner's operations during the transition.

CEO David Zaslav emphasized the priority of maximizing shareholder value and certainty, while Board Chairman Samuel Di Piazza Jr. framed the Netflix merger as a strategic move to separate streaming operations from Warner’s global linear channels. Warner also warned shareholders there is no guarantee that Paramount’s proposal will surpass the Netflix offer.

This development comes amid a robust international business climate, with global merger and acquisition announcements exceeding $23 billion following major U.S. holidays. Brazilian markets are closely watching these moves, with B3 stock exchange poised to resume trading on February 18 after the Carnival break.

The Warner-Netflix merger vote and the reopened Paramount discussions represent significant maneuvers in the highly competitive streaming sector, signaling potential shifts in the global media landscape and affecting investors worldwide.