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A federal judge temporarily blocks Paramount’s proposed $110 billion acquisition of Warner Bros. Discovery.<\/p>\n
Representatives for Paramount Skydance and California Attorney General Rob Bonta’s office are expected to meet Monday to discuss a potential resolution to the lawsuit seeking to block Paramount’s $110 billion acquisition of Warner Bros. Discovery, according to reports.<\/p>\n
The talks come as the transaction remains on hold under a court agreement and the companies face a March 2027 antitrust trial unless the dispute is resolved sooner.<\/p>\n
Variety first reported Friday that the two sides were expected to meet, citing sources familiar with the situation. The discussions are expected to focus on whether there is a path toward resolving the states’ antitrust case.<\/p>\n
FOX Business has reached out to Paramount and Bonta’s office for comment.<\/p>\n
Bonta led a coalition of 12 state attorneys general in filing the lawsuit in July, alleging the combination would reduce competition in theatrical film distribution and basic cable programming.<\/p>\n
MOVIE THEATER GROUP REVERSES COURSE, URGES CALIFORNIA AG TO SETTLE $110B PARAMOUNT-WARNER BROS LAWSUIT<\/p>\n
California Attorney General Rob Bonta believes Paramount\u2019s planned takeover of Warner Bros. Discovery is simply “an illegal merger.”\u00a0 (AaronP\/Bauer-Griffin\/GC Images \/ Getty Images)<\/p>\n
The states argue the merger would combine two of Hollywood’s five major film distributors and give the combined company roughly 27% of the wide-release theatrical film market. They also allege it would control more than 30% of anticipated top-grossing theatrical films and about 27% of the market for licensing basic cable channels.<\/p>\n
Paramount and Warner Bros. Discovery have rejected the states’ view of the transaction, arguing the combination would strengthen competition in a rapidly changing media industry.<\/p>\n
An aerial view of the sun rising beyond the water tower at Paramount Studios on Oct. 30, 2025, in Los Angeles, California.\u00a0 (Mario Tama\/Getty Images \/ Getty Images)<\/p>\n
Bonta signaled openness to a possible resolution in a CNBC interview Thursday but said any settlement would require “robust structural remedies.”<\/p>\n
“We do prefer to resolve cases in the boardroom instead of the courtroom,” Bonta told CNBC, while saying the states remain focused on the markets outlined in their complaint.<\/p>\n
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Under a July 24 court stipulation, Paramount and Warner Bros. Discovery agreed not to close the deal or begin integrating their operations until five days after a ruling on the merits or June 1, 2027, whichever comes first.<\/p>\n
California Attorney General Rob Bonta. (Sarah Reingewirtz\/MediaNews Group\/Los Angeles Daily News via Getty Images \/ Getty Images)<\/p>\n
U.S. District Judge Araceli Mart\u00ednez-Olgu\u00edn has scheduled a 12-day trial beginning March 2, 2027. In an Aug. 4 scheduling order, the judge also encouraged the parties to identify potential magistrate judges to oversee a settlement conference.<\/p>\n
Paramount agreed in February to acquire Warner Bros. Discovery for $31 per share in cash, valuing the transaction at roughly $110 billion including debt. Under the merger agreement, Warner Bros. Discovery shareholders begin accruing additional consideration if the transaction remains unclosed after Sept. 30.<\/p>\n
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The companies have said the combination would create a stronger global media competitor while maintaining both film studios and producing at least 30 theatrical films annually.<\/p>\n
#Paramount #California #meet #settlement #110B #Warner #Bros #Discovery #merger<\/p>\n","protected":false},"excerpt":{"rendered":"
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