Warner Bros. Discovery deflected Paramount Skydance’s initial takeover approach because the per-share price is too low, according to Bloomberg News.
Paramount’s initial price of around $20 per share, made in recent weeks, was not attractive to WBD, Bloomberg reported, citing people familiar with the matter. Warner Bros. Discovery stock was trading just over $17 at Friday’s market close.
Neither Paramount nor WBD immediately responded to a request for comment sent Saturday.
New Paramount chief David Ellison is seeking alternatives that could include increasing the share price, Bloomberg noted. He could also appeal to shareholders directly or find additional financing through a partner like asset manager Apollo Global Management, with whom Ellison has been in talks.
Ellison’s $8 billion merger with Skydance Media was completed in August.
