Key WBD shareholder remains unconvinced by Paramount’s amended takeover bid

Global reports indicate that Paramount’s revised takeover proposal for WBD has been cautiously received by key shareholders, with the board maintaining a preference for Netflix’s alternative bid

by e4m Staff
Published: Dec 24, 2025 8:43 AM | 2 min read

Paramount’s revised bid for Warner Bros Discovery has failed to fully convince at least one of the studio’s key shareholders, even after changes to strengthen the offer, according to a Reuters’ report.

Harris Oakmark, the fifth-largest shareholder in Warner Bros Discovery with a nearly 4% stake as of end-September, has indicated that Paramount’s updated proposal still falls short of what it considers compelling. The investor believes that while the modifications were necessary, they do not sufficiently tilt the balance in Paramount’s favour, especially given the costs and complexities involved in switching deal paths.

Read On: Larry Ellison offers $40.4 bn personal guarantee to back Paramount’s WBD bid

Earlier this week, Paramount reworked its $108.4 billion hostile bid to address concerns around financing. As part of the revision, co-founder Larry Ellison has personally backed a significant portion of the offer, providing guarantees worth over $40 billion. The move is seen as an attempt to reduce uncertainty around funding, particularly after questions were raised about the structure of earlier financing arrangements.

In addition, Paramount raised the breakup fee payable if regulatory approval is not secured, bringing it in line with a competing proposal from Netflix. Shareholders of Warner Bros Discovery now have until January 21, an extension from the earlier January 8 deadline, to decide whether to accept the tender offer.

Read On: Netflix is right home for WBD: CEOs to stockholders

Despite these changes, Warner Bros Discovery’s board has reiterated its preference for Netflix’s competing bid. While Netflix’s cash offer values the company lower on a per-share basis, the board has cited greater financing certainty and the inclusion of equity upside, along with proceeds from a planned Discovery Global spin-off, as reasons for backing the Netflix deal.

Market participants say the competing bids highlights the strategic value of Warner Bros Discovery’s assets, which include HBO Max and major entertainment franchises such as Harry Potter, Lord of the Rings and Superman. Some investors have indicated they are inclined to follow the board’s recommendation, while others remain open to Paramount’s revised proposal should Netflix choose not to counter.