Edgar Bronfman Jr. makes a bid for Paramount

The US$4.3-billion offer has emerged right before Wednesday's deadline for competing proposals.
August 20, 2024

A new bidder is stepping up to the plate with an alternative offer for media giant Paramount Global.

US businessman and media investor Edgar Bronfman Jr. submitted a bid worth US$4.3 billion to acquire Shari Redstone’s National Amusements. This news was first reported by the WSJ on Monday (August 19).

The proposal includes US$2.4 billion in debt and equity for National Amusements, plus US$1.5 billion towards Paramount’s balance sheet that could be utilized to pay down debt, according to media reports.

With a resumé spanning multiple sectors, Bronfman Jr. previously served as chief of the whisky, alcohol and beverage producer Seagram’s in the 1990s, succeeding his father. He also had a seven-year stint as CEO of Warner Music Group (which concluded in 2011) and held the title of vice-chairman of Vivendi Universal. Currently, he is executive chair of FuboTV’s board, and chairman and co-founder of Waverley Capital, which invests in media companies.

Paramount implemented a 45-day “go shop” period in early July after Redstone and a special board committee approved a US$8-billion bid from LA’s Skydance Media and its private equity partner RedBird Capital. This period—which is set to end tomorrow (August 21)—allows for the Hollywood giant to evaluate any other takeover offers. 

If it ends up approving a rival deal, Paramount has agreed to pay a US$400-million breakup fee to Skydance. Bronfman Jr. would reportedly cover this fee if his last-minute offer is accepted.

Of course, it’s uncertain whether Paramount will take up the businessman’s offer. But according to Bloomberg, one source suggested that the company is “likely” to extend its go shop period given this development.

Image courtesy of Hannah Wernecke/Unsplash 

About The Author

Search

Menu

Brand Menu