Paramount Board Special Committee Confirms Merger with Skydance to Close in First Half of 2025
A special committee of Paramount Global’s board of directors, set up to guide its M&A process, has declared the end of the “go-shop” period in its pending merger with Skydance Media and said the transaction will close in the first half of 2025.
In a statement tonight following the withdrawal of a rival bid led by Edgar Bronfman Jr., the committee acknowledged it had received word that the bid had been withdrawn.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 “consultation period” by another 15 days, until September 5.
“On behalf of the Special Committee, we thank Mr. Bronfman and his group of investors for their interest and efforts,” said Charles E. Phillips, Jr., Chairman of the Special Committee.
“After extensively exploring Paramount’s opportunities for nearly eight months, our special committee continues to believe 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.
While the deal will likely face regulatory scrutiny, particularly given CBS’ broadcast licenses and a portfolio of local stations under Paramount’s umbrella, most observers see a fairly clear path to approval. The saga of Paramount’s M&A aspirations, which began in late 2023 and has involved a slate of big (and some small) names in the media industry, has been one of the messiest in recent industry history.
The winning Skydance proposal calls for a total investment of $8 billion in Paramount in two stages. Skydance will first acquire National Amusements Inc., owned by Shari Redstone, and then complete a full merger with Paramount Global.
If approved, the deal would mark a major shift in the media industry, with the Redstones giving up control of an asset they had controlled for more than three decades. Shari Redsone’s late father, Sumner, assembled the pieces of the media empire that would become Paramount, eventually ceding the stage amid a host of controversies both personal and professional. Ellison, meanwhile, has long been tied to 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 committed to investing heavily in Paramount’s streaming business.
