Paramount and Warner Bros. Discovery Merger Closing Date Set for October 6

Paramount Skydance and Warner Bros. Discovery have scheduled an October 6, 2026, closing date for their $111 billion merger. This date follows the resolution of legal hurdles that previously stalled the transaction.

The deal proceeds after a court-approved settlement with 12 state attorneys general, which resolved antitrust litigation regarding the combination of the two media companies. This resolution allows for a new leadership structure, where current Paramount Skydance CEO David Ellison and outgoing Mattel CEO Ynon Kreiz will serve as co-CEOs.

"Today is a historic day for Skydance and for our entire industry," said David Ellison, CEO of Paramount Skydance, in a statement regarding the clearance.

Financial Terms for Shareholders

Under the terms of the merger, Warner Bros. Discovery shareholders are slated to receive $31.00 per share in cash. The agreement includes a per-diem accrual of $0.00277778 for each calendar day following September 30, 2026. If the transaction finalizes on October 6, the total payout will reach approximately $31.01666668 per share.

Regulatory Settlement Conditions

To secure approval from the U.S. District Court, the companies entered into a binding settlement agreement overseen by Judge Araceli Martínez-Olguín. The court imposed conditions to ensure market competition and editorial independence within the new corporate structure:

• Production Commitment: The combined entity must invest a minimum of $300 million annually into U.S.-based film production.
• Theatrical Mandates: The company is required to maintain a specific minimum volume of theatrical film releases.
• Editorial Independence: The settlement mandates the preservation of independent editorial oversight for both CNN and CBS News to prevent cross-platform influence.

Leadership and Operational Shifts

The appointment of Ynon Kreiz as co-CEO marks a transition for the combined firm. Kreiz, who is stepping down from his role at Mattel, will partner with Ellison to manage the integration of the two organizations' content libraries and distribution networks. This leadership pairing is intended to connect Skydance’s production-focused heritage with the broadcasting and cable assets held by Warner Bros. Discovery, including its streaming operations and news divisions.