Bankers Ready Debt Package for $110 Billion Warner Deal as Markets Face $49 Billion Ellison Test
Updated
Updated · Bloomberg · May 28
Bankers Ready Debt Package for $110 Billion Warner Deal as Markets Face $49 Billion Ellison Test
8 articles · Updated · Bloomberg · May 28
$110 billion is the size of Paramount Skydance's agreed takeover of Warner Bros. Discovery, and bankers are now lining up a jumbo debt sale to finance it.
That package will test investor appetite for megamerger financing at a time when bond markets have been wobbling, making the deal one of the biggest near-term checks on credit demand.
Paramount Skydance, led by David Ellison, has a market value of only about $12 billion and already carries debt, increasing reliance on external financing.
Larry Ellison's financial backing helped Paramount Skydance outbid Netflix in February, but the coming debt sale will show how far billionaire support can offset market risk.
With a potential $100 billion debt load, is Ellison building a media empire or the industry's next spectacular collapse?
How will unifying DC, Harry Potter, and Top Gun under one roof reshape the future of blockbuster entertainment?
What does heavy investment from foreign sovereign wealth funds signal about the future of American media ownership?
Inside the $110 Billion Paramount Skydance–Warner Bros. Discovery Merger: Debt, Regulation, and the Battle for Hollywood’s Future
Overview
As of May 2026, the proposed merger between Paramount Skydance and Warner Bros. Discovery faces a challenging and uncertain regulatory path. The deal is under intense scrutiny due to rising concerns about media concentration in the entertainment industry. Federal antitrust challenges and an active investigation by the California Department of Justice highlight the seriousness of these concerns. California’s Attorney General has promised a thorough review, and the deal has not yet cleared state-level hurdles. Meanwhile, the U.S. Justice Department has declined to comment, leaving its position unclear and adding to the uncertainty surrounding the merger’s future.