Netflix, Comcast and Paramount Make Bids for Warner Bros.

Netflix Inc., Comcast Corp. and Paramount Skydance Corp. all submitted bids for Warner Bros. Discovery Inc., according to people with knowledge of the matter, setting the stage for one of Hollywood’s biggest companies to be sold.

The submissions meet a Nov. 20 deadline for a first round of bids set by the board of Warner Bros. Discovery, the parent of HBO, CNN and the Warner Bros. movie and TV studios. The New York Times reported earlier Thursday that the three companies had put in offers.

Comcast and Netflix are most interested in the film and TV library, which includes everything from The Sopranos to Bugs Bunny. Paramount is willing to buy the whole company, including cable channels such as CNN, TNT and the Cartoon Network.

On Wednesday, Bloomberg reported that Netflix told Warner Bros. management it is willing to give up its long-standing opposition to releasing films in theaters if it acquired the company.

Warner Bros. said it would evaluate strategic options last month after receiving interest in all or part of the business from multiple suitors.

A sale is certain to bring more turmoil, at least in the short run, for a company looking at its fourth owner in seven years. AT&T Inc. purchased Time Warner Inc. from its shareholders in 2018 to diversify into film and TV production. Four years later, WarnerMedia was merged into Discovery Inc., creating the current iteration.

With consumers and advertisers shifting from traditional TV to streaming, Warner Bros. has struggled under its current leadership. But with the recent takeover speculation, the shares have nearly tripled over the past two months. It now has a market value of $57 billion and about $33.5 billion in debt.

Shares of Warner Bros. were up less than 1% Friday morning in New York at $23. Netflix was little changed, Comcast was up 1.6% and Paramount was down just under 1%.

Paramount, fresh from its takeover by technology heir David Ellison, started it all. Ellison has made three offers for Warner Bros., running as high as $23.50 a share, all of which were rejected. He’s expected to bid more, but less than the $30-a-share value that some analysts have put on the company and Warner Bros. is said to want.

Ellison sees an acquisition as an opportunity to beef up Paramount’s business. The Warner Bros. film and TV library will feed more content into the Paramount+ streaming service. HBO Max will also add streaming subscribers, and the Warner cable channels will be merged with Paramount’s MTV and others. The 42-year-old film producer is a fan of movies and wants to increase the combined output of Paramount and Warner Bros. to 30 pictures a year.

His father, Oracle Corp. Chairman Larry Ellison, is one of the world’s richest men. He already helped fund his son’s $8 billion takeover of Paramount. The Ellisons have also been talking to Apollo Global Management and the sovereign wealth funds of several Middle Eastern nations about additional financing. On Tuesday, David Ellison joined other business luminaries at a White House dinner honoring the Saudi Crown Prince.

Comcast could combine its NBC broadcast network, Universal film studio and Peacock streaming service with Warner Bros.’ film and streaming assets. Netflix wants to add lucrative Warner franchises like Batman and Harry Potter to its stable.

Comcast has $99 billion in debt, and its shares are down 29% this year. Netflix carries just $17 billion in borrowings. Its shares are up 19% in 2025, giving it a stock market value of $448 billion. Netflix has never done an acquisition of this size, however, preferring organic growth.

Warner Bros. may not reach a deal with any of the suitors and may continue its current plan to separate its flagging cable networks from the rest of the businesses next year. That would allow Chief Executive Officer David Zaslav to continue to run the studio and streaming units, at least until another bidder materializes. The board is expected to make a final decision by Christmas.

Bloomberg's Geetha Ranganathan joins to discuss with Paul Sweeney and Scarlet Fu.

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