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Edgar Bronfman raises Paramount, National Amusements offer to $6 bln- WSJ

Published 08/22/2024, 07:24 AM
© Reuters
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Investing.com-- Media executive Edgar Bronfman hiked his bid for Shari Redstone’s National Amusements and a stake in Paramount Global (NASDAQ:PARA), The Wall Street Journal reported on Wednesday.

Bronfman is offering $6 billion for Redstone’s holdings, higher than his prior offer of $4.3 billion. His bid for the media giant comes after Redstone and Paramount had in July accepted an $8 billion merger with David Ellison’s Skydance Entertainment. 

Paramount’s special committee of directors- which is overseeing the company’s merger- extended the period allowing other suitors to make an offer for the firm on Wednesday, the WSJ report said. 

Bronfman’s new proposal presents a $16 premium for each non-voting share in Paramount, slightly above the $15 offered by the Skydance deal, according to the WSJ report. But Skydance’s proposal allows it to buy more shares from nonvoting holders. 

Bronfman’s offer potentially opens up a new round of uncertainty over the fate of Paramount, which has been fielding takeover offers for over a year. Its negotiations with Skydance were also close to collapsing at one point earlier in 2024. 

Paramount’s studio, coupled with its ownership of several major television channels, including CBS, Comedy Central, MTV and Nickelodeon, has made it a lucrative buyout target for media firms. 

Paramount's class B shares rose 2.8% in aftermarket trade, following the WSJ report.

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