Laura Martin, senior media and internet analyst at Needham & Company, discusses Netflix’s wild trading range ahead of earnings on Making Money.
Inner mogul Byron Allen The company is making another bid to buy Paramount Global after its bid last year failed to gain traction.
Allen Media Group has offered $14.3 billion to acquire Paramount Global. The Wall Street Journal reported According to a person familiar with the matter. The group’s offer is $28.58 per voting share and $21.53 per non-voting share of the company’s stock, according to a copy of the offer letter reviewed by the outlet, which is Paramount’s 90-day average for both classes. About 50% higher than Global stocks.
Including the company’s debt, Mr. Allen’s offer would be worth about $30 billion, according to the Journal and Reuters. Bloomberg first reported on Allen Media Group’s latest bid to buy Paramount.
An offer letter seen by the Journal showed that Allen Media Group offered to buy Paramount last year, but rejected the offer because the company’s board expected a higher price. The stock price fell about 37%. ”
Paramount and Warner Bros. Discovery discuss merger.Plans to integrate streaming services
Allen Media Group has proposed to buy Paramount Global for more than $14 billion, a deal that would be valued at about $30 billion, including the company’s debt. (Patrick T. Fallon/AFP via Getty Images/Getty Images)
Paramount’s Class B non-voting shares rose more than 6.6% during Wednesday trading and rose more than 2.3% in after-hours trading on the news.
Paramount’s Class A voting stock rose more than 21.5% during Wednesday trading, but gave back more than 3.1% of that gain as the after-hours price fell.
| ticker | safety | last | change | change % |
|---|---|---|---|---|
| para | paramount global | 14.59 | +0.91 | +6.65% |
| Paraa | paramount global | 23.33 | +4.14 | +21.57% |
Bloomberg reported that Allen would sell if the deal goes through. paramount movie studios The company will retain its TV channels and Paramount+ streaming service, along with certain real estate and intellectual property assets, with the goal of operating them more efficiently.
Apple and Paramount have reportedly signed an iStreaming deal.
The Paramount Pictures logo is displayed in front of Paramount Studios in Los Angeles, California, on January 31, 2024, with the Hollywood sign visible beyond. (Tama Mario/Getty Images/Getty Images)
Paramount owns several products television network This includes CBS broadcast networks and cable services such as Comedy Central, Nickelodeon, MTV, BET, and VH1. The magazine previously reported that Allen Media Group offered to buy BET from Paramount last year with an offer of about $3 billion, but the company decided not to sell the network.
Allen Media Group owns media such as TheGrio and The Weather Channel.
Paramount has been the subject of other merger and acquisition discussions, including late last year in talks to merge with Warner Bros. Discovery.
Byron Allen attends Allen Media Group’s Upfront Presentation at Avra on April 26, 2023 in New York City. (Chance Yeh/Getty Images for Allen Media Group/The Weather Channel/Getty Images)
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Allen Media Group and Paramount Global did not respond to requests for comment.
Reuters contributed to this report.
