The all-cash transaction continues to be valued at $27.75 per Warner Bros share or enterprise value of $82.7 billion, unchanged from the prior transaction structure, according to a statement.
“Today’s revised merger agreement brings us even closer to combining two of the greatest storytelling companies in the world and with it even more people enjoying the entertainment they love to watch the most,” said David Zaslav, President and CEO of Warner Bros. Discovery.
“The Warner Bros. Discovery Board continues to support and unanimously recommend our transaction, and we are confident that it will deliver the best outcome for stockholders, consumers, creators and the broader entertainment community,” said Ted Sarandos, co-CEO of Netflix.
“Our revised all-cash agreement will enable an expedited timeline to a stockholder vote and provide greater financial certainty at $27.75 per share in cash, plus the value from the planned separation of Discovery Global,” he said.
“Over the last decade, when much of the entertainment industry has contracted, Netflix has grown and invested tremendously in the business of film and television in the U.S. and abroad. This transaction will further fuel that growth and investment,” said Greg Peters, co-CEO of Netflix.
Warner Bros Discovery will separate Warner Bros. and Discovery Global into two separate publicly traded companies. This separation is expected to be completed in six to nine months, prior to the closing of the proposed Netflix and Warner Bros. transaction.
Netflix is reportedly in race with rival Paramount to acquire Warner Bros. Paramount has launched a hostile bid.
Read more here on Netflix revised offer: https://about.netflix.com/en/news/netflix-and-warner-bros-discovery-amend-agreement-to-all-cash-transaction
