Warner Bros Discovery launches strategic review amid takeover interest
Warner Bros Discovery (WBD), the parent company of HBO, CNN, DC Studios, TNT Sports, Cartoon Network and the Harry Potter franchise has confirmed it is reviewing “strategic alternatives” following takeover interest.
The review could lead to a full sale of the company or a potential split between Warner Bros and Discovery.
The move follows reports that WBD rejected a $60 billion offer from Paramount Skydance, while Netflix is also rumoured to be exploring a possible bid. The review aims to “maximise shareholder value,” according to the company’s statement.
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WBD President and CEO David Zaslav said: “We continue to make important strides to position our business to succeed in today’s evolving media landscape by advancing our strategic initiatives, returning our studios to industry leadership, and scaling HBO Max globally. We took the bold step of preparing to separate the Company into two distinct, leading media companies, Warner Bros and Discovery Global, because we strongly believed this was the best path forward. It’s no surprise that the significant value of our portfolio is receiving increased recognition by others in the market. After receiving interest from multiple parties, we have initiated a comprehensive review of strategic alternatives to identify the best path forward to unlock the full value of our assets.”
WBD Board Chair Samuel A. Di Piazza, Jr. added: “Our decision to initiate this review underscores the Board’s commitment to considering all opportunities to determine the best value for our shareholders. We continue to believe that our planned separation to create two distinct, leading media companies will create compelling value. That said, we determined taking these actions to broaden our scope is in the best interest of shareholders.”
