Netflix Makes a Fresh Warner Discovery Bid, Report Says. This Could Derail the Deal.

Netflix, Paramount Skydance, and Comcast have all made fresh bids for Warner Discovery, The Wall Street Journal reported. (Mario Tama/Getty Images)

Key Points

• Netflix made a second, primarily cash-based offer for Warner Bros. Discovery’s entertainment and studios businesses, seeking tens of billions in financing.
• Paramount remains the frontrunner in the bidding war for Warner Bros. Discovery, potentially due to strong government relations and financial backing.
• Warner Bros. Discovery shares rose 1.3% in premarket trading and were up 105% over the past three months.

The bidding war for Warner Bros. Discovery is heating up—but CBS parent Paramount Skydance still looks best-placed to see off video streamer Netflix and win the takeover battle.

Netflix on Monday made a primarily cash-based second offer for Warner Discovery’s entertainment and studios businesses, The Wall Street Journal reported, citing people familiar with the matter. Netflix is working to secure tens of billions in financing to fund the deal, per the report.

Paramount and cable and entertainment company Comcast have both also submitted follow-up bids to Warner Discovery, according to The Journal. Paramount is seeking to buy the whole company, while Comcast—like Netflix—is just interested in the streaming and studios segment, not the cable channels.

Warner Bros., Paramount, Netflix, and Comcast didn’t immediately respond to requests for comment from Barron’s.

Created with Highcharts 9.0.1Warner Bros. DiscoverySource: FactSet

Created with Highcharts 9.0.1July 2025Dec.81012141618202224$26

Investors are expecting a major shakeup of the entertainment industry as the three entertainment companies fight for control of Warner Discovery—and with it the HBO Max streaming service, as well as the rights to beloved characters including Batman and Harry Potter.

Despite news of Netflix’s follow-up bid, Paramount remains the obvious frontrunner: It has the strongest relationship with the Trump administration, potentially smoothing the process of regulatory approval. It may also have the financial backing of CEO David Ellison’s father, Oracle founder Larry Ellison.

Netflix may find it tougher to get a deal rubber-stamped, amid concerns that it could have too much power over Hollywood if it were to buy Warner’s studio and streaming assets. High-level White House officials met recently to discuss concerns about a Netflix-Warner Discovery deal, per The Journal.

Warner Discovery shares climbed 1.3% to $24.19 in premarket trading on Tuesday. As of Monday’s close, the stock was up 105% over the past three months, surging ever since reports broke of Paramount’s initial offer.

Netflix shares climbed 0.2% ahead of the opening bell, while Paramount and Comcast were roughly flat. Futures tracking the S&P 500 were 0.3% higher.

Paramount could have to pay at least $27 a share for Warner Discovery, Seaport Research Partners analyst David Joyce told Barron’s last month. That’s based on estimates of the price-to-enterprise value of Warner Discovery’s studios, streaming, and TV networks segments.

Write to George Glover at george.glover@dowjones.com