Netflix executives Ted Sarandos and Greg Peters recently commented on their decision to walk away from their attempt to acquire Warner Bros. Discovery. They remarked that while it would have been a beneficial addition under the right circumstances, it wasn’t something they had to secure at any price.
In a joint statement, they explained, “The deal we had negotiated could have provided shareholder value with a clear route for regulatory approval. Still, we remain prudent and have chosen not to counter Paramount Skydance’s bid, as the terms no longer seem advantageous.”
On Thursday, Netflix confirmed it had turned down a higher bid for Warner Bros. Discovery, attributing the decision to a “superior offer” made by Paramount Skydance.
Praising Warner Bros. as a top-tier organization, Sarandos and Peters expressed gratitude to the company’s leadership for conducting a transparent negotiation process. They emphasized their belief that they could have been responsible caretakers for Warner Bros., potentially bolstering the entertainment industry and creating jobs in the U.S. However, they reiterated that the acquisition was merely a “nice-to-have” at the right valuation, not an essential one.
Looking ahead, Netflix plans to invest over $20 billion in new series and films this year. The co-CEOs concluded with optimism about the company’s trajectory, stating, “As a publicly traded entity, our focus remains on pleasing our members, growing profitably, and enhancing long-term shareholder value.”
