Nine days after rejecting a takeover offer from David Ellison’s Paramount Skydance, Warner Bros. Discovery announced it will accept offers to sell itself even as it moves toward a split into two separate companies.
The media giant said Tuesday that it was expanding its strategic review of the company after receiving “unsolicited interest from multiple parties” for both the entire company and Warner Bros.
“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,” David Zaslav, president and CEO of Warner Bros. Discovery, said in a statement.
Paramount had previously offered “around” $20 per share for the parent company of HBO/HBO Max, Warner Bros. Entertainment, CNN, TNT, TBS and more. Shares of Warner Bros. Discovery rose 8% in premarket trading Tuesday following the announcement to sit just below that $20 mark.
CNBC reported Tuesday that Comcast and Netflix have also expressed interest in some or all of WBD.
Warner Bros. recently announced plans to split into two companies, one that would focus on its global television networks and the other on streaming and studios. Work will continue on that separation, which is scheduled to be completed in mid-2026.
“We continue to take important steps to position our business for success in today’s changing media landscape by advancing our strategic initiatives, returning our studios to industry leadership and expanding HBO Max globally,” Zaslav said. “We took the bold step of preparing to separate the company into two leading and distinct media companies, Warner Bros. and Discovery Global, because we firmly believed this was the best path forward.”
Tuesday’s announcement follows Zaslav’s comments last month in which he affirmed his bullish view on the company’s future, saying HBO Max will be in 150 million homes next year and calling the streaming service undervalued.
“The fact that this is quality, and that’s true throughout our company, film, television production and broadcast quality, we all think gives us the opportunity to increase the price,” he said. “We think we’re way underpriced. We’re going to take our time.”
If Paramount makes another offer for Warner that is accepted by the company, it would be something of a coming full circle moment. Last year, Warner Bros. came close to purchasing Paramount, but the two companies could not reach a financial agreement.