Netflix is working on revised terms for Warner Bros. Discovery and has discussed making its offer all-cash for the company’s studios and streaming businesses, Bloomberg News reported Tuesday, citing people familiar with the talks.
The changes are designed to speed up a sale that will take months to finalize and has faced opposition from both politicians and rival bidder Paramount Skydance.
Netflix declined to comment, while Warner Bros. did not immediately respond to a Reuters request for comment.
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Netflix’s $82.7 billion deal initially consisted of cash and stock for Warner Bros.’ film and streaming assets, while Paramount offered $108.4 billion in cash for the entire company, including its cable TV business.
Still, Warner Bros. has favored the Netflix deal despite modifications to Paramount’s offer, including a $40 billion equity backing from Oracle co-founder Larry Ellison, father of Paramount CEO David Ellison.
Warner Bros. board has argued that Paramount’s bid depends on a significant amount of debt financing, which increases the risk of closure, and that the proposal “remains inadequate.”
Paramount and Netflix have been locked in an intense battle for Warner Bros., its coveted film and television studios and its extensive content library.
Its lucrative entertainment franchises include “Harry Potter,” “Game of Thrones,” “Friends” and the DC Comics universe, as well as coveted classic films like “Casablanca” and “Citizen Kane.”
The bidding war has become Hollywood’s most watched acquisition battle, as studios face a landscape increasingly dominated by streaming platforms and box office revenues remain volatile.
Read: Paramount Skydance sues Warner Bros. over details of the Netflix deal
Lawmakers on both sides of the political spectrum have expressed concern about further consolidation in the media industry, which could lead to higher prices and fewer options for consumers.
Paramount on Monday sued Warner Bros. for more information about its deal with Netflix and said it plans to nominate directors for Warner Bros. board.
With information from Reuters
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