Paramount extends Skydance go-shop period

The company's special committee is taking the extra time to evaluate Edgar Bronfman Jr.'s competing US$6-billion offer.
August 22, 2024

It’s still too early to cue the end credits on the sale of Paramount Global as businessman Edgar Bronfman Jr. and his consortium of potential investors just submitted a revised—and increased—bid for the Hollywood giant at the very last minute. 

Initially, Bronfman Jr.’s group submitted a US$4.3-billion bid on Monday to acquire Paramount controlling shareholder Shari Redstone’s company, National Amusements. But Bronfman was able to increase his offer to US$6 billion yesterday (August 21)—just before the 45-day go-shop period for the Paramount-Skydance merger was scheduled to end last night at 11:59 pm.

To review this new bid, Paramount’s special committee is extending the go-shop period until September 5 specifically for the Bronfman consortium. “There can be no assurance this process will result in a superior proposal,” Paramount said in a statement yesterday. “The company does not intend to disclose further developments unless and until it determines [that] such disclosure is appropriate or is otherwise required.”

During the original go-shop period, the special committee contacted more than 50 third parties to see if any of them had a potential interest in acquiring Paramount.

It remains to be seen if Bronfman Jr. will end up being victorious in the long-running blockbuster merger saga. While frontrunner Skydance Media’s US$8-billion bid earned the committee’s approval last month, the deal has been sailing through some choppy waters—from Redstone pulling out of discussions in June to a recent class-action lawsuit by shareholders, challenging the terms of the proposed merger.

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