Earlier this month, we got word that the recently-merged Paramount Skydance had made an offer to purchase Warner Bros. Discovery. This initial offer was rebuffed, but we now have confirmation that the company is for sale.
In a lengthy press release, WBD CEO David Zaslav revealed that they have received "unsolicited interest from multiple parties" for the entire company, as well as for Warner Bros. separately, and are currently initiating a review of strategic alternatives.
"While Warner Bros. Discovery (the “Company”) (NASDAQ: WBD) continues to advance its previously announced separation of Warner Bros. and Discovery Global, its Board of Directors today announced it has initiated a review of strategic alternatives to maximize shareholder value, in light of unsolicited interest the Company has received from multiple parties for both the entire company and Warner Bros. Through this process, the Warner Bros. Discovery Board will evaluate a broad range of strategic options, which will include continuing to advance the Company’s planned separation to completion by mid-2026, a transaction for the entire company, or separate transactions for its Warner Bros. and/or Discovery Global businesses.
As part of the review, the Company will also consider an alternative separation structure that would enable a merger of Warner Bros. and spin-off of Discovery Global to our shareholders. “We continue to make important strides to position our business to succeed in today’s evolving media landscape by advancing our strategic initiatives, returning our studios to industry leadership, and scaling HBO Max globally. We took the bold step of preparing to separate the Company into two distinct, leading media companies, Warner Bros. and Discovery Global, because we strongly believed this was the best path forward.”
Though no specific interested parties were named, Comcast and Netflix are believed to be among them.
What would a sale of the entire company mean for DC Studios? Despite nonsensical rumors that WBD is having "buyer's remorse" about hiring James Gunn to shepherd in a new DCU era and may intend to use any potential purchase or merger as an excuse to fire him, it's highly unlikely that DC Studios or its current movie/TV slate would be impacted to any significant degree. Gunn has already made it clear that his contract would remain secure one way or the other.
The mention of Netflix as a potential buyer has caught the attention of the #RestoreTheSnyderVerse faithful, who also believe that there might be something to Zack Snyder continuing to share photographs from his time working on the likes of Man of Steel and Batman V Superman: Dawn of Justice.
Zaslav added, “It’s no surprise that the significant value of our portfolio is receiving increased recognition by others in the market. After receiving interest from multiple parties, we have initiated a comprehensive review of strategic alternatives to identify the best path forward to unlock the full value of our assets.”
“Our decision to initiate this review underscores the Board’s commitment to considering all opportunities to determine the best value for our shareholders,” added Samuel A. Di Piazza, Jr., Chair of the Warner Bros. Discovery Board of Directors. “We continue to believe that our planned separation to create two distinct, leading media companies will create compelling value. That said, we determined taking these actions to broaden our scope is in the best interest of shareholders.
Warner Bros. Discovery does not intend to make any further announcements regarding the review of strategic alternatives unless and until the Board approves a specific transaction or otherwise determines further disclosure is appropriate or necessary."