Rafael Brown’s Post

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CEO & Founder at Symbol Zero // Microsoft Regional Director

Wow. Sony Pictures (with Apollo Global) might acquire Paramount (Paramount Pictures, CBS, MTV, Nickeldoeon, Showtime, Comedy Central, CMT, Flix, PopTV, The Movie Channel, SmithsonianTV, Nickelodeon Animation, TV Land). This is not a done deal, but is not a rumor. Wow. Just to be clear David Ellison's (son of Larry's Ellison) Skydance Media is still in talks with Paramount Global. Sony/Apollo now join them with deeper pockets. Paramount Global: Wikipedia: https://lnkd.in/gijAAr36 Variety: "Paramount Global to Pursue Simultaneous Talks with Sony/Apollo and Skydance as M&A Drama Drags On. Warren Buffett confirms Berkshire Hathaway has sold its Paramount shares: 'We lost quite a bit of money'" Variety: https://lnkd.in/gWz5yrfs #streamingwars #mna #industryconsolidation #mergersandacquisitions

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Christian Grece Christian Grece is an Influencer

European Television and VOD Markets Analyst

From the NYT: Paramount has decided to formally open negotiations with a bidding group led by Sony Pictures Entertainment and the private equity giant Apollo, according to three people familiar with the matter. The move comes after a period of exclusive talks with the #Hollywood studio Skydance lapsed on Friday night. A special committee of Paramount’s board of directors met Saturday and signed off on beginning deal talks with Sony and Apollo, which last week submitted a letter of interest valuing the company at $26 billion, the people said. The committee also decided to push for further negotiations with Skydance, a studio founded by the technology scion David Ellison. Paramount, the owner of Nickelodeon , MTV, CBS and Paramount Pictures, has been exploring a deal as it faces industrywide headwinds, including the decline of cable #TV and the unprofitability of its #streaming businesses. [...] Under the terms currently being contemplated in the Sony-Apollo tie-up, Sony would be a controlling shareholder, with Apollo owning a minority stake, according to the two people familiar with the bidders’ strategy. Sony executives have discussed operating the Paramount studio as a division of their larger empire, uniting the studios behind the “Spider Man” and “Mission: Impossible” franchises and combining their theatrical marketing and distribution operations Though the finer points of the deal have yet to be detailed, Sony Pictures Entertainment and Apollo have discussed putting Paramount — which includes the Paramount+ streaming service and the CBS broadcast network — into a joint venture, the two people said. One scenario under discussion is allowing Apollo Global Management, Inc. to sell its minority stake back to Sony in a few years, allowing Sony to consolidate its ownership of the company. It is unclear what Skydance will do next. It sweetened its offer to Paramount last week, offering a $3 billion investment to buy back stock and pay down debt, but that extra incentive wasn’t enough to get the deal across the finish line. Skydance could still improve its bid, but one person familiar with the company’s strategy said it was unwilling to continue negotiating only to drive up the price for another suitor. Paramount is still interested in a potential deal with Skydance and even offered to cover the company’s legal fees, one person familiar with the matter said.

Sony and Apollo in Talks to Acquire Paramount

Sony and Apollo in Talks to Acquire Paramount

https://www.nytimes.com

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