Paramount said billionaire Larry Ellison, father of the company’s CEO, would personally guarantee $40 billion to support the firm’s bid to buy Warner Bros. Discovery.
Ellison’s intervention comes as competition heats up between Paramount and streaming giant Netflix, which is looking to secure WBD’s prized Hollywood assets.
WBD’s board had reportedly expressed doubts about the Ellison-backed firm’s financing, instead recommending shareholders accept Netflix’s bid. Paramount’s bid is expected to be backed by as much as $24 billion from Middle Eastern sovereign wealth funds, drawing criticism from analysts.
However the decision may ultimately lie elsewhere: US President Donald Trump has said he plans to play a role in a decision about any WBD arrangement, The New York Times reported.