Netflix declines to match higher bid for Warner Bros Discovery

Netflix Inc. (NASDAQ: NFLX) announced it will not raise its offer for Warner Bros. Discovery Inc. (NASDAQ: WBD) after the media company's board determined that Paramount Skydance Inc.'s (NASDAQ: PSKY) latest proposal constitutes a superior offer under their existing merger agreement.

Netflix co-CEOs Ted Sarandos and Greg Peters stated the transaction would have created shareholder value with regulatory approval prospects, but at the price required to match Paramount Skydance's bid, the deal no longer meets their financial criteria.

"The transaction we negotiated would have created shareholder value with a clear path to regulatory approval. However, we've always been disciplined, and at the price required to match Paramount Skydance's latest offer, the deal is no longer financially attractive," the executives said in a statement.

The streaming company characterized the Warner Bros. acquisition as a "nice to have" at the right price rather than a necessity at any cost. Netflix thanked Warner Bros. Discovery CEO David Zaslav and the board for conducting what it described as a fair process.

Netflix will invest approximately $20 billion in content production this year and plans to resume its share repurchase program. Warner Bros. Discovery had filed a definitive proxy statement with the Securities and Exchange Commission on February 17, 2026, regarding the proposed Netflix transaction.

The announcement comes as streaming companies compete for content libraries and production capabilities in an increasingly consolidated media landscape.

You May Also Be Interested In

• Lyft to acquire Serveo's bikeshare business in Spain
• RH CEO Gary Friedman sells 125,000 shares to cover personal expenses
• ISS and Glass Lewis back Aterian asset sale ahead of shareholder vote