- Judge Araceli Martínez-Olguín formally approved Paramount Skydance's settlement with California and other states, clearing the final hurdle for the $110 billion takeover of Warner Bros. Discovery.
- The deal is expected to close on October 6, following the judge's approval.
- David Ellison, CEO of Paramount Skydance, announced that Ynon Kreiz would become co-CEO of the combined media giant shortly after the judge's approval.
- California and other states sued to block the merger, leading to extensive litigation.
- The settlement was reached after highly contested litigation and several rounds of in-depth negotiations.
A California judge has approved Paramount Skydance's settlement with California and other states, allowing the $110 billion merger with Warner Bros. Discovery to proceed. The deal is set to close on October 6, following extensive negotiations and regulatory approvals in 68 jurisdictions worldwide.1
Judge Araceli Martínez-Olguín stated that the consent decree represents a reasonable resolution of the dispute, emphasizing that it includes important backstops requiring divestment if the merged entity fails to comply with the terms. The merger will unite major media entities, including CBS News, CNN, and streaming services HBO Max and Paramount+.
Following the approval, David Ellison, CEO of Paramount Skydance, announced that Mattel CEO Ynon Kreiz will serve as co-CEO of the combined company, which is expected to release at least 30 films annually and invest over $1 billion in U.S. film production and worker training.3
Despite the approval, concerns remain regarding competition and journalistic independence. Mark Ruffalo, a vocal opponent of the merger, criticized the decision, stating, "This merger will stifle creativity, weaken free speech, and cost people their jobs." He urged the public to continue fighting against the deal.
The merged entity will be monitored by a news editorial independence board to oversee journalism principles for CNN and CBS News, addressing concerns raised by state attorneys general about potential impacts on media integrity.
“The settlement requires the combined company to release at least 30 films a year and sets up an editorial board to oversee CNN and CBS News. Paramount also pledged to invest more than $1 billion in U.S. film production and worker training.”
Variety
