Skydance Media is in early talks about an all-cash offer for National Amusements, the parent company of media giant Paramount Global, in an effort that would eventually merge both Skydance and Paramount, the Wall Street Journal reported Wednesday.
Citing sources familiar with the matter, the newspaper said that under the current offer being discussed, Skydance CEO David Ellison and investors — including his father, Larry Ellison — would buy “at least a majority stake” in National Amusements from the Redstone family. From there, they will try to combine Skydance and Paramount PARA,
The magazine said.
Skydance is one of the top independent studios in Hollywood, having produced blockbuster films such as “Mission: Impossible — Dead Reckoning” and “Top Gun: Maverick.”
The entertainment industry is bracing for more consolidation, more investor pressure for streaming profits, a move away from cable TV, and changes in the movie theater business. The magazine's report follows reports last month of Skydance's interest, as well as reports that Warner Bros. Discovery Inc. WBD,
He was in talks to merge with Paramount.
The newspaper said Wednesday that WBD “continued to express interest” but discussions “did not progress.”
Paramount shares rose 0.9% after hours. The stock is down about 30% over the past 12 months, compared with the S&P 500's SPX of about 20%.
