A special committee of Paramount Global’s board of directors tasked with managing the M&A process has declared the end of the “go-shop” phase of the pending merger with Skydance Media and said the transaction will close in the first half of 2025.
In a statement issued this evening following the withdrawal of a rival bid led by Edgar Bronfman Jr., the committee confirmed it had received word that the bid had been withdrawn. The emergence of this alternative to David Ellison’s Skydance had previously prompted the committee to extend the “go-shop” for another 15 days, until September 5.
“On behalf of the Special Committee, we thank Mr. Bronfman and his investor group for their interest and efforts,” said Charles E. Phillips, Jr., Chairman of the Special Committee.
“After nearly eight months of thoroughly reviewing viable opportunities for Paramount, our special committee remains convinced that the transaction we have agreed to with Skydance offers immediate value and the potential for continued participation in value creation in a rapidly evolving industry landscape,” he added.
Although the deal is likely to face scrutiny from regulators, particularly given CBS’ broadcast licenses and a portfolio of local stations within the Paramount group, most observers see a fairly clear path to approval. The saga surrounding Paramount’s merger and acquisition ambitions, which began in late 2023 and involved a number of big (and some smaller) names in the media business, has been one of the messiest in the industry’s recent history.
Skydance’s winning proposal calls for a total investment of $8 billion in Paramount in a two-stage process. Skydance will first acquire Shari Redstone’s National Amusements Inc. and then complete a full merger with Paramount Global.
If approved, the deal will mark a major turning point in the media business, as the Redstones relinquish control of a fortune they controlled for more than three decades. Shari Redsone’s late father, Sumner, built the pieces of the media empire that later became known as Paramount, eventually ceding the stage amid a host of personal and professional controversies. Ellison, on the other hand, has long been associated with Paramount as a co-financing partner on major film and television projects. He also brings the financial resources of his father, Larry Ellison, the billionaire co-founder of Oracle, and has pledged to invest significant sums in Paramount’s streaming business.
