Netflix vs Paramount: Here’s what investors need to know about how the numbers stack up
Global media giants Netflix and Paramount Skydance, Warner Bros. They are competing with each other to acquire Discovery (WBD). Although the final vote is in the hands of WBD shareholders, both companies are trying to persuade their decisions by making adjustments to their original proposals.
How do bid numbers stack up?
1. Savings: According to a Reuters According to the report, WBD shareholders will save $2-3 billion annually with Netflix’s offer, while the combined business will realize more than $6 billion in cost synergies over the Paramount offer.
2. Offer per share: Netflix’s offer gives shareholders an all-cash tender offer of $27.75 per share, while Paramount’s offer offers shareholders an all-cash tender offer of $30.
3. Share premium: According to the agency report, Netflix’s offer was ahead of Warner Bros.’s closing price on September 10. It provides approximately 121.3% premium to its shareholders. Paramount’s offer is around 139% as of September 10 closing price.
4. Closing: Netflix’s offer expires in 12 to 18 months, while Paramount’s offer covers more than 12 months.
5. CEOs: Netflix’s deal is led by co-CEOs Ted Sarandos and Greg Peters, while Paramount Skydance’s deal is led by CEO David Ellison.
6. Who will finance it? Netflix’s offering will be financed with cash and equity on hand through up to $59 billion in debt financing from Wells Fargo, BNP Paribas and HSBC Bank.
Paramount’s bid will be financed by RedBird’s equity owner Larry Ellison and $54 billion in debt financing from Bank of America, Citi and Apollo. Saudi Arabia’s Public Investment Fund, Abu Dhabi-based L’imad Holding Company PJSC and Qatar Investment Authority are among the other financing partners.
7. Enterprise value: Netflix’s offering has an enterprise value of $82.7 billion and an equity value of $72 billion. Paramount’s offer comes with an enterprise value of $108.4 billion and an equity value of $74.35 billion.
8. Breakup fee: In Netflix’s offer, the company is valued at $5.8 billion, while Warner Bros. will have to pay 2.8 billion dollars. Paramount’s offer would see the company pay $5.8 billion in separation fees.
9. Broadcast subscribers: Netflix has a subscriber base of over 300 million, while Paramount has 79.1 million.
10. Next assets: The assets in question in the Netflix deal include Warner Bros.’ film and television studios, video game intellectual property and developers, the HBO network and content library, and the HBO Max streaming service.
In Paramount’s bid, all of Warner Bros. Discovery’s film, television, streaming, gaming and cable television networks, including HBO and CNN, were lined up for the takeover.
Netflix revised the offer
In an SEC filing filed on Jan. 20, 2026, Netflix revised the original offer structure of its $82.7 billion acquisition deal from a combination of cash and equity shares to an all-cash deal to make it simpler.
Despite the change in structure to an all-cash deal, Netflix continues to value the Warner Bros. acquisition at $27.75 per share, which is different from the previous transaction structure.
The move comes as Netflix aims to simplify its transaction structure, provide WBD shareholders with greater certainty in terms of value, while also accelerating the path to a WBD shareholder vote on the proposal.
Paramount’s $108 billion offer
Paramount Skydance, which is competing against Netflix in a hostile takeover effort, could potentially acquire Warner Bros. through an all-cash deal. He offered $108 billion to buy Discovery.
Mint We previously reported that the company was offering WBD investors $30 per share to potentially purchase all outstanding shares.
In efforts to make the deal profitable for shareholders, Oracle Founder and billionaire Larry Ellison, father of Paramount Skydance CEO David Ellison, agreed to personally finance $40.4 billion in equity financing to support Paramount Skydance’s all-cash offering.
However, in a recent interview Finance TimesNetflix CEO Greg Peters said without Larry Ellison’s financial backing through independent financing, Paramount had no chance of attracting financing for the acquisition round.
Now all eyes are on Warner Bros. At Discovery’s upcoming shareholders meeting, the public will vote on the proposed transactions, expected to take place by April 2026, on whether to accept the takeover offer.
