Official press release from Paramount Global or Skydance Media

Skydance Revises $8 Billion Offer for Paramount, Proposes $15/Share Cash-Out Option

Jun 3, 2024, 03:26 PM

Skydance Media has revised its offer for Paramount Global, providing nonvoting shareholders the option to cash out at $15 per share, a 26% premium over the previous price. The deal, spearheaded by David Ellison, includes a $1.5 billion cash injection to pay down Paramount’s debt and a plan to tender for about 50% of Paramount's B shares. Additionally, Skydance and RedBird Capital would own two-thirds of Paramount post-merger. The agreement, valued at $8 billion, is pending approval from Paramount's controlling shareholder Shari Redstone. Paramount's leadership is also considering job cuts and exploring joint venture options for its streaming service as part of a broader restructuring plan. Key sticking points include legal expenses, a potential go-shop period, and a shareholder vote.