Paramount Skydance’s $110 Billion Warner Bid Leaves $4.76 Spread After US Approval

3 articles · Updated · Bloomberg · Jun 18

$4.76 a share separated Warner Bros. Discovery’s stock from Paramount Skydance’s $31 offer at Wednesday’s close, signaling traders still see the takeover odds as undervalued.
The spread stayed about as wide as it was before the Justice Department closed its investigation last week, even after the deal won crucial US approval.
That persistence reflects merger-arbitrage caution that more hurdles remain before the roughly $110 billion transaction can be completed.
For investors, the unchanged discount suggests the market is still pricing meaningful execution risk rather than treating US clearance as the final obstacle.

Sources

Left100%

With US approval secured, why does a large stock gap suggest the $110B Paramount-Warner deal could still fail?

Can foreign regulators and Hollywood opposition derail the merger after the US Justice Department's green light?

Will 'WarnerMount' be a content powerhouse or a giant crushed by over $90 billion in debt?