LOS ANGELES, Jan. 12 (Xinhua) -- Paramount Skydance on Monday sued Warner Bros. Discovery (WBD) over its deal with Netflix, marking the latest move in its efforts to gain control of the Hollywood media and entertainment conglomerate.
Filed in a Delaware court, the lawsuit seeks to compel WBD and its Chief Executive Officer, David Zaslav, to disclose additional information related to the company's pending deal with Netflix.
WBD rejected Paramount Skydance's amended tender offer last week, stating that it remained inferior to Netflix's merger agreement across numerous key areas. In a statement released Wednesday, the company said its board of directors had "unanimously determined that Paramount Skydance's tender offer, as amended on Dec. 22, 2025, is not in the best interests of WBD and its shareholders."
David Ellison, chairman and chief executive officer of Paramount Skydance, on Monday sent a letter to WBD shareholders outlining his company's next steps "for delivering its superior, fully financed, all-cash offer" of 30 U.S. dollars per share to WBD shareholders.
Paramount Skydance said it is seeking disclosure of basic information to enable WBD shareholders to make an informed decision. The company also noted that it intends to nominate directors for election at the WBD 2026 Annual Meeting and solicit against approval of the Netflix transaction.
Netflix, the world's largest streaming company by subscriber count, sent shockwaves through Hollywood on Dec. 5 by announcing an 82.7 billion-U.S.-dollar agreement to acquire WBD. The cash-and-stock transaction is valued at 27.75 dollars per share.
Paramount Skydance has since launched a hostile bid, placing the merger at the center of a widening national debate. Paramount Skydance announced it would offer 30 dollars per share for WBD, dismissing Netflix's proposal as offering "inferior and uncertain value."
Unlike the deal with Netflix, which covered WBD's film studio and streaming service and would spin off its cable division into a new publicly traded company, Paramount Skydance's offer is for the entirety of WBD. ■