The fate of media conglomerate Warner Bros. Discovery is poised to be determined within a critical ten-day window. The company finds itself at the center of a takeover battle between two rival bidders, with a firm deadline for clarity set before the end of February. Shareholders must decide whether to align with a proposal from Netflix or accept a competing offer from Paramount Skydance.
The Competing Proposals
Two distinct acquisition strategies are on the table, each with its own financial and structural philosophy.
The board of directors has unanimously recommended the Netflix proposal. This deal is structured in two parts: a cash payment of $27.75 per share for the studio and streaming assets, combined with shares in a newly formed entity tentatively named “Discovery Global.” This new company would house the linear television networks, including CNN, TNT, and TBS.
In a competing, unsolicited bid, Paramount Skydance has presented an all-cash offer of $30 per share for the entire company, foregoing any corporate split. While this bid appears approximately 3% higher on the surface, Warner Bros. Discovery’s leadership contends it fails to account for the future growth potential and strategic benefits embedded in the Netflix arrangement.
Key Dates on the Calendar
The immediate timeline presents two decisive events.
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February 20: Tender Offer Deadline
Paramount Skydance has extended the expiration date for its takeover offer to February 20. Initial shareholder response has been tepid, with reports indicating less than seven percent of shares were tendered by late January. Market observers are now watching for a potential increase in the offer price or a possible withdrawal by Paramount.
February 27: Quarterly Earnings Release
One week later, on February 27, Warner Bros. Discovery is scheduled to report its financial results for the fourth quarter of 2025. This earnings release is anticipated to serve as a major influence on the final decision. The figures will provide a clear view of the current profitability of the streaming division, which could justify higher valuations. Furthermore, the performance of the linear TV business will directly impact the implied value of the Discovery Global shares that are part of the Netflix deal package.
A Cleared Political Hurdle
One significant source of uncertainty was recently eliminated. In early February, U.S. President Donald Trump announced he would not personally intervene in the antitrust review process for either potential deal. The decision rests solely with the Department of Justice. This clarification has reduced the perceived political risk associated with the transactions.
The coming days will reveal whether Paramount Skydance enhances its bid or if shareholders ultimately favor the Netflix plan with its spin-off participation. The quarterly report on February 27 will then deliver the essential financial data needed for a final assessment of both offers, bringing a conclusive chapter to this high-stakes corporate contest.
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