LOS ANGELES: The $110 billion Paramount Warner merger moved closer to completion after Paramount Skydance Corporation settled antitrust challenges brought by 12 state attorneys general and the Writers Guild of America.
Paramount Skydance Corporation (NASDAQ: PSKY) plans to acquire Warner Bros. Discovery, Inc. (NASDAQ: WBD). California Attorney General Rob Bonta said Monday that the states’ settlement remains subject to court approval.
Under the five-year agreement, Paramount must release at least 30 theatrical films annually during the first two years. That rises to 32 films annually in years three through five, with at least four independent-film releases each year.
The company also agreed to spend at least an additional $1.5 billion on U.S. film production over five years compared with its 2025 level. Separately, the settlement establishes a $47.5 million fund for workers affected by the merger.
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The agreement also imposes safeguards on cable negotiations. Paramount will establish journalist-led oversight intended to protect editorial independence at CBS News and CNN.
Meanwhile, the Writers Guild separately agreed to resolve its federal antitrust lawsuit. Court filings seek dismissal of that case with prejudice and dissolution of the earlier order preventing the companies from closing the transaction.
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The WGA settlement includes a USD 17.5 million payment to its health plan and a five-year restriction on layoffs in CBS News’ broadcast division, according to reporting on the agreement.
Paramount Chief Executive David Ellison said the settlements gave the company “complete clearance” to proceed. The states’ agreement, however, still requires court approval.
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Paramount Skydance settled challenges brought by 12 state attorneys general and the Writers Guild, removing major legal barriers to its proposed $110 billion acquisition of Warner Bros. Discovery.
