Warner Bros. Rejects Paramount’s First Bid — Why Zaslav Likely Demanded More

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Warner Bros. Discovery has turned down an initial takeover offer from Paramount and Skydance, according to Bloomberg. The offer, which was around $20 per share, was considered too low by Warner Bros. Discovery.

This decision is logical considering the current situation: Zaslav has been working to increase the company’s stock value (which is currently $17.10) before any potential sale, and he won’t likely accept a significantly discounted price.

As Deadline reported earlier, rumors of a potential offer had already caused Warner Bros. Discovery’s stock price to rise towards $20. This signals that any company interested in acquiring WBD will have to make a substantial financial offer.

Zaslav Not Selling Cheap

Turning down the $20-per-share offer is consistent with David Zaslav’s original plan: he aims to get the maximum value for Warner Bros. Discovery’s valuable properties – including its studios, DC Comics, and streaming services – and won’t settle for a lowball offer. Over the past several months, Zaslav has carefully prepared these assets for sale by minimizing risks, ensuring the buyer invests in future growth potential rather than existing debts or complications.

However, taking this approach could deter potential buyers who aren’t interested in a complicated or extensive deal. For example, Netflix has shown concern about taking on Warner Bros. Discovery’s traditional TV channels, existing licensing agreements, and large amount of debt.

Paramount’s Move: Raise or Go to Shareholders

According to sources at Bloomberg, Skydance–Paramount is considering several moves in its pursuit of Warner Bros. Discovery: raising its offer, appealing directly to Warner Bros. shareholders, or teaming up with investors like Apollo Global Management to make a more attractive bid. However, Warner Bros. leadership, led by Zaslav, might not accept anything less than their desired price.

It’s unknown if the initial talks about a potential deal are progressing seriously, or if Paramount is simply trying to appear strong. However, turning down the first offer makes one thing clear: they’re not going to sell for a low price.

What It Means for the Sale Race

Increasing the minimum bid means all future offers must be over $20. We anticipate bargaining will likely begin between $25 and $30, or even higher.

Narrows the field: Buyers unwilling to go deep (or swallow debt) may drop out.

Zaslav is in a strong position because of Warner Bros. Discovery’s planned division into two parts: a group focused on studios and streaming, and another for its traditional networks. This split allows him to sell off either part separately if he doesn’t receive satisfactory offers for the entire company.

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2025-10-13 03:01