Why WBD Just Gave Paramount a 7-Day Ultimatum

$82.7 Billion vs $31 Per Share: The Ultimate Showdown

Warner Bros. Discovery just dealt Paramount a harsh reality check: you have seven days to make your "best and final" offer, but we still prefer Netflix's$82.7 billion deal. It's not exactly a warm invitation back to the negotiating table.

David Ellison's entertainment giant offered $31 per share with a telling caveat—this isn't their final proposal either. For months, Paramount has been steadily increasing its bid to acquire all of WBD, but apparently not fast enough.

Netflix's Clean Exit Strategy

WBD's preference for Netflix isn't just about the money—it's about simplicity. The $82.7 billion Netflix deal covers just the studio and streaming service, a clean surgical separation. Paramount wants the whole company, complete with debt complications and regulatory hurdles that could drag on for years.

Wall Street analysts are split on WBD's seven-day ultimatum strategy. "If they were genuinely interested in Paramount's offer, they wouldn't be applying this kind of pressure," notes one investment banker. Others suggest Paramount could still change the game with a bid above $40 per share.

The Last Stand of Traditional Media

This isn't just corporate chess—it's potentially the final consolidation play for traditional media companies trying to compete with streaming titans like Netflix and Disney+. The winner gets scale; the loser faces an uncertain future in an increasingly crowded market.

For consumers, the stakes are equally high. A Netflix-WBD combination could create a content powerhouse with unprecedented pricing power, while a Paramount-WBD merger might preserve more competitive balance in the streaming landscape.