Skydance New Offer for Paramount Global With Sweetened Terms
Skydance and RedBird Capital are sweetening their takeover deal for Paramount Global.
A source confirms to The Hollywood Reporter that the investor group, which also includes KKR, has made a revised offer to Paramount’s independent board committee reviewing deals.
While the specifics of the new offer were not immediately available, it is believed to sweeten the deal for Paramount’s Class B shareholders, many of which have expressed concern about the original offer. Paramount is effectively controlled by Shari Redstone and her National Amusements, which holds more than 70 percent of Class A voting shares.
Class B shareholders have expressed concern that they are not getting the same value out of the deal that Redstone is, with some threatening lawsuits if the company moves forward with the deal.
The original deal on the table would see the Skydance-RedBird consortium acquire National Amusement’s stake in Paramount at a premium (given their voting rights), and then have Paramount acquire Skydance, which would install its own leadership team (led by former NBCUniversal CEO Jeff Shell) and execute its own strategy.
In preparation for a sale, Paramount parted ways on April 29 with CEO Bob Bakish, who had run the company since it recombined Viacom and CBS in December 2019. In the interim, a trio of veteran executives under the title “Office of the CEO” — Brian Robbins, George Cheeks and Chris McCarthy — are steering the business of Paramount and its brands, from Paramount Pictures to Paramount+, Showtime, CBS, MTV, Comedy Central, Nickelodeon and BET, until a new long-term plan is unveiled.
More to come.
Kim Masters contributed reporting.
