Warner Bros. Discovery CEO wants bidding war for company
Warner Bros. Discovery CEO wants bidding war for company
The CEO is hoping to get plenty of attention for his company, even as Paramount prepares an offer.
Warner Bros. Discovery might be the hottest item on the shelves this holiday season. That’s certainly the way company CEO David Zaslav wants it; according to the New York Post, Zaslav wants all the major entertainment companies in Hollywood plunking down their best offers for WBD even as Paramount readies an offer.
Key Details:
- Do they want me?: Zaslav has met with bankers to gauge bidding interest in WBD.
- No numbers yet: Paramount is preparing a mostly cash offer for WBD, but hasn’t disclosed its official bid.
- Ambitious goal: The WBD CEO wants to propel the company’s stock price to $40 per share.
According to The Post, Zaslav has reached out to bankers at Goldman Sachs to see what interest level media and tech companies like Amazon, Apple, and Netflix would have in acquiring Warner Bros. Discovery. One person with knowledge of Zaslav’s moves says that the CEO thinks a bidding war is imminent, and that the Paramount-owning Ellison family knows it.
“Ellison better come up with a really good offer, and it better be cash,” that person said. “It’s (Zaslav’s) feeling that Ellison is trying to get ahead of the bidding war that is coming.”
Last week, reports emerged that father Larry and son David Ellison were planning to purchase Warner Bros. Discovery through David’s company, Paramount Skydance. Paramount is reportedly preparing a cash offer for WBD, but the numbers for its bid have not been revealed.
It’s unclear from the report whether Zaslav learned of any actual interest by other media companies or not. The CEO has a history of out-of-touch comments and thought processes, and the bidding war he imagines is coming may not be held anywhere besides in his own head.
On the other hand, Zaslav might be completely correct that other outfits have an interest in acquiring his company. If so, it’s not only smart, it’s his duty to find out how he can benefit WBD the most. The Post reports that one of his goals is to boost the company’s stock price past $40 per share; when Thursday’s news of Paramount’s interest in WBD leaked, the stock price jumped to just above $16 per share.
Paramount may not be the only party in on the WBD acquisition talks, and Zaslav is just fine with that. As the weather cools down, the action on the WBD sale process might heat up to steaming levels.
HBO Max
HBO Max is a subscription video streaming service that gives access to the full HBO library and exclusive Max Originals. There are hubs for content from TLC, HGTV, Food Network, Discovery, TCM, Cartoon Network, Travel Channel, ID, and more. Watch hit series like “The Last of Us,” “House of the Dragon,” “Succession,” “Curb Your Enthusiasm,” and more. Within HBO Max, B/R Sports allows users to watch live NBA, MLB, NHL, March Madness, and NASCAR events.