Paramount Skydance Corp. said its pending merger with Warner Bros. Discovery Inc. has received all required regulatory clearances.
The eight-month review covered 68 jurisdictions, including the US, the European Union and China. Paramount said regulators “have consistently found no basis to prevent the transaction from moving forward.”
The approval process included reviews by federal regulators such as the US Department of Justice. However, Paramount still faces an antitrust lawsuit filed by 12 states.
The lawsuit is led by California Attorney General Rob Bonta. The states argue that the proposed $110 billion merger could hurt film and television distribution.
They also claim the deal could result in fewer jobs across the media and entertainment industry.
“The litigation brought by the State of California and 11 other state AGs remains the final obstacle to completing a combination that will create a stronger competitor with greater capacity to invest in premium content,” Chief Executive Officer David Ellison said.
The lawsuit is scheduled to go to trial in March. This makes the case the final major hurdle to the completion of the merger.
Paramount said it has offered “commitments and concessions” to the states’ attorneys general. The company hopes the measures will help resolve their concerns and secure approval for the deal.
Leave a Reply