Paramount Pushes $44 Billion Debt Offering to Finance Warner Bros. Acquisition
The studio is awaiting final approval of its settlement with 12 state AGs by a federal judge The post Paramount Pushes $44 Billion Debt Offering to Finance Warner Bros. Acquisition appeared first on TheWrap .
Paramount Skydance is seeking to raise $44 billion in debt to fund its acquisition of Warner Bros. Discovery, as it waits for approval of a settlement with state attorneys general. The debt issuance includes $32 billion in investment-grade bonds and $12.4 billion in high-yield securities. The funds will be used alongside equity, term loans, and existing cash reserves to finance the $110 billion purchase.
The merger agreement requires approval from U.S. District Judge Araceli Martinez-Olguin, whose decision was delayed after a September 24 hearing. The judge has not set a timeline for her ruling. Paramount acknowledges the uncertainty in the closing date, currently estimated for October 7. The merger would result in $80 billion in debt and include layoffs, with CEO David Ellison promising $6 billion in synergies.
Shareholders will receive a $31 per share payout, vested WBD equity awards, and additional fees totaling less than $80 billion.
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