A true media giant has been born. Paramount's acquisition of Warner Bros. Discovery (WBD) has been finalized. The merged company is launching anew under the name 'Skydance.'
Skydance officially announced on the 6th, local time, that Paramount completed its acquisition of WBD. Both companies have completed all regulatory approvals and other procedures necessary for the merger agreement, and trading of WBD stock on the Nasdaq was halted starting that day.
Through the merger, Paramount and Warner Bros.' film studios, television businesses such as HBO and CBS, global streaming services including HBO Max and Paramount+, CNN, CBS News, CBS Sports, and TNT Sports are brought together under one company. Skydance will also integrate and operate major franchises and content owned by both companies, including Top Gun, Harry Potter, The White Lotus, and SpongeBob.
Skydance plans to release a minimum of 30 theatrical films annually in the future and strengthen its content competitiveness based on more than 180 TV programs and series. Currently, the combined streaming service subscribers of both companies exceed 200 million. The combined company's revenue size is approximately $70 billion, with targets to secure over $6 billion in cost synergies over the next three years and generate more than $10 billion in free cash flow by 2030.
David Ellison, Chairman and CEO of Skydance, stated, "From the beginning, our goal was to bring together these two storied studios to build a stronger competitor capable of delivering content across all genres and platforms," adding, "Now, that goal has become a reality."
With this merger, major brands such as Paramount, Warner Bros., HBO, HBO Max, Paramount+, CBS, CNN, Nickelodeon, Cartoon Network, and MTV will all be incorporated under Skydance. The same applies to Warner Bros. Games, owned by WBD, along with its subsidiary game development studios including NetherRealm Studios, Rocksteady Studios, Avalanche Software, and TT Games. Skydance plans to combine the development and licensing capabilities of Warner Bros. Games and Skydance Games to expand the gaming business for key franchises.
Meanwhile, Shinsegae announced on the 6th, Korean time, that Shinsegae Property invested in the Warner Bros. acquisition alongside Skydance Co-CEO David Ellison and U.S. investment firm RedBird. The investment size is $1 billion, or approximately 1.4 trillion won. Through this, the company plans to utilize Skydance's key IP across Shinsegae's retail and entertainment businesses.
