Industry

Paramount Completes Warner Bros. Discovery Acquisition, Creating Global Entertainment Giant Skydance. The combined company brings together CBS, HBO, CNN, Paramount+ and HBO Max, with over 200 million streaming subscribers and plans to produce at least 30 films annually.

Paramount has officially completed its acquisition of Warner Bros. Discovery (WBD) on October 6, 2026, creating a new global media and entertainment powerhouse operating under the name Skydance. The transaction brings together two of Hollywood’s most established studios, major television networks, streaming platforms, news operations and an extensive portfolio of internationally recognised franchises.

Led by Chairman and CEO David Ellison, alongside Co-CEO Ynon Kreiz, the combined company brings together CBS, HBO, Paramount's and WBD's cable networks, CBS News, CNN, CBS Sports and TNT Sports. Its content portfolio spans iconic properties including Harry Potter, Top Gun, The White Lotus and  SpongeBob SquarePants.

With operations reaching audiences in more than 200 countries and territories, Skydance boasts over 200 million streaming subscribers, an extensive film and television library, and a portfolio of more than 180 television shows.

The company has outlined an ambitious production strategy, committing to releasing at least 30 theatrical films annually, each benefiting from a minimum 45-day theatrical window. In television, Skydance plans to continue commissioning content from independent producers while licensing its own programming to third-party broadcasters and platforms, maintaining its presence in the international distribution market.

The streaming business will also undergo a major transformation, with the company's direct-to-consumer platforms expected to be integrated into a single service over time, supported by technological innovation and an expanded content offering.

David Ellison, Chairman and CEO of Skydance said: "Today is a historic day, not just for Skydance but for our entire industry. From the start, our ambition was to bring these two storied studios together and create a stronger competitor, with the talent, resources, and reach to tell great stories in every genre, on every platform, for audiences everywhere. Now that ambition is a reality. We're grateful to everyone who made this possible – the employees, creative talent, and production teams of both companies, who worked tirelessly to get us here and inspire audiences around the world every day, as well as the advisors and partners who guided this transaction to completion. Our focus now turns to the future: building a company that empowers creatives, entertains audiences and rewards shareholders. We couldn't be more excited to get to work."

Gerry Cardinale, Founder and Managing Partner of RedBird Capital and a Skydance Board Director, said: "This is a defining moment for the industry. By applying our owner-operator model to Paramount and WBD's unmatched portfolio of iconic franchises, premium original programming, and live sports rights, we can protect that legacy while building for a media landscape that's undergoing transformational change. David, our Co-CEO Ynon Kreiz, and the rest of our world-class Skydance team have the vision and track record to lead through this change. We're proud to back them as we build a stronger Hollywood, expand opportunities for talent, and create long-term value for our shareholders."

The combined group has nearly $70 billion in revenue and is targeting more than $6 billion in annual run-rate synergies over the next three years, primarily through technology integration, procurement, marketing and real estate optimisation. Skydance also expects to generate more than $10 billion in free cash flow by 2030, while its pro forma content spending exceeded $30 billion over the last twelve months.

The transaction received all required regulatory approvals, with competition authorities covering nearly 70 jurisdictions worldwide. Under the agreement, WBD shareholders received $31.01666668 in cash per share. Warner Bros. Discovery shares have ceased trading on Nasdaq, while Skydance Class B shares began trading on the New York Stock Exchange under the ticker SKYD.

The Ellison Family holds the largest equity stake in the company, while the Ellison Family and RedBird Capital together control 100% of its voting shares. The acquisition was supported by $47 billion in new equity investment led by the Ellison Family, RedBird, the Public Investment Fund, L'IMAD, Qatar Investment Authority and LionTree.

The merger represents one of the most significant consolidations in the global entertainment industry, reshaping competition across scripted production, international content distribution, streaming and sports rights, as traditional Hollywood studios seek greater scale to compete with global streaming and technology platforms.