Netflix Submits Highest Cash Bid to Acquire Warner Bros. Discovery

Netflix has reportedly made the highest cash offer to acquire Warner Bros. Discovery, entering a decisive phase of a binding auction that could dramatically reshape the U.S. media and streaming industry. According to Bloomberg, the bid was submitted over the Thanksgiving weekend in the United States, placing Netflix ahead of major rivals Comcast and Paramount Skydance in the second round of the auction.

Netflix is primarily targeting the Warner Bros. film and TV studios and the HBO Max streaming service, seen as some of the most valuable content assets in Hollywood. This acquisition could strengthen Netflix’s dominance in global content production, expand its premium offerings, and help manage the target company’s heavy debt load.

Warner Bros. Seeks $30 Per Share as Bidding Intensifies

Bloomberg reports that Warner Bros. Discovery is seeking $30 per share. Company chair emeritus John Malone has described the valuation as “possible,” though the stock closed at $23.87 on Monday, reflecting a market value of approximately $59 billion.

To support its offer, Netflix is reportedly arranging a bridge loan worth tens of billions of dollars, demonstrating the scale of its ambition in securing one of Hollywood’s most prestigious and financially burdened studios.

Banks representing the three main bidders, Netflix, Comcast Corp., and Paramount Skydance Corp, worked through the holiday weekend to finalise enhanced proposals. Paramount’s bid is supported by the billionaire Ellison family, Apollo Global Management, and investors from the Middle East.

What Happens If Netflix or Comcast Wins the Bid

Both Netflix and Comcast are specifically interested in acquiring:

• The Warner Bros. studios
• The HBO Max streaming platform

If either company’s bid is accepted, Warner Bros. Discovery will proceed with plans to spin off its cable channels under a new entity called Discovery Global, potentially by mid-2026.

The Warner Bros. Discovery board can approve a deal quickly due to the binding nature of the offers, though the company may still consider late-stage proposals if they exceed current offers.

Warner Bros. Put Up for Sale After Surprise Offers

Warner Bros. Discovery formally placed itself up for sale in October after receiving unexpected acquisition proposals. This prompted the company to abandon earlier plans to divide into two independent units.

The sale process was accelerated by CEO David Zaslav, following repeated acquisition attempts from Paramount. Paramount itself was recently taken over by the family of Oracle co-founder Larry Ellison. His son, David Ellison, now Paramount CEO, submitted multiple acquisition proposals before the auction officially began.

Netflix’s Strong Financial Position Supports Mega Deal

Netflix enters the auction with exceptional financial strength, giving it a competitive edge. In Q3 2025, the company reported:

• $18.7 billion in cash and short-term investments
• $1.4 billion in free cash flow
• Rapid subscriber growth is driving strong collections

This robust financial footing provides the flexibility to pursue large-scale acquisitions such as Warner Bros. Discovery, while avoiding excessive short-term debt obligations.

A Potential Transformation of the U.S. Media Landscape

If Netflix succeeds, the acquisition would mark one of the biggest media deals in modern history, giving the streaming giant control of:

• Warner Bros.’ legendary film and TV studios
• The globally recognised HBO brand
• Popular franchises and premium storytelling assets

Such a move would drastically alter competition in Hollywood, intensify the streaming wars, and position Netflix as the most powerful content producer in the world.

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