Top digital giant Netflix has decided to raise its bid for Warner Bros to acquire the studio. Netflix co-CEOs Ted Sarandos and Greg Peters announced that the deal is no longer attractive financially. “We have been always disciplined and the deal is not financially attractive at a price that is required to match Paramount Skydance’s latest offer. Hence, we are declining to match the Paramount Skydance bid. Warner Bros. is a world-class organization and we thank them. ” told Netflix.
The proposal of PSKY was $ 31 per share but there are other fees like ticking fee payable to shareholders which is 0.25 USD per quarter and 7 billion USD regulatory termination. Paramount has also agreed to pay the $2.8 billion termination fee and this is the amount Warner Bros need to pay to Netflix to terminate the merger agreement. The shares of Netflix have soared more than 10 percent after the decision was announced by Netflix.
