Skydance reaches deal to buy controlling stake in Paramount: WSJ
Make us a preferred source
Make us a preferred source on Google
The news: David Ellison's Skydance Media has reached a deal to buy National Amusements, including its controlling stake in Paramount Global, according to people familiar with the matter who told the Wall Street Journal.
The numbers: Under the preliminary agreement, production company Skydance would pay USD1.75 billion ($2.63 billion) for National Amusements, which owns 77% of the voting shares of Paramount.
The deal would also include a 45-day "go-shop" period, in which other interested bidders could submit offers for Paramount.
The news saw Paramount's shares climb 7.81% in after-hours trading on the Nasdaq.
The context: National Amusements, the family company of Shari Redstone, has referred the deal to the company's special committee to review.
The agreement terms come after weeks of discussion and a recent competing offer from Apollo Global Management and Sony Pictures.
Redstone ended discussions to sell her controlling stake in Paramount to Skydance and merge the two companies last month. However, Skydance has reportedly sweetened its offer during months of negotiations.
The source: Wall Street Journal
