Streaming giant Netflix reaffirmed its lion’s share command of modern entertainment capital following the purchase of iconic film and production studio house Warner Bros. Studios in a multi-billion dollar acquisition.
“We’ll define the next century of storytelling together” Netflix said during its announcement of the mega acquisition via social media on Friday morning.
The official press release stated:
“Today, Netflix, Inc. (the Company) and Warner Bros. Discovery, Inc. (WBD) announced they have entered into a definitive agreement under which Netflix will acquire Warner Bros. The official press release stated:
The deal also notes the inclusion of WB’s “film and television studios, HBO Max and HBO.”
On the actual dollars and cents of the takeover, Netflix confirmed the jaw-dropping $72billion-dollar figure to secure the rights.
“The cash and stock transaction is valued at $27.75 per WBD share (subject to a collar as detailed below), with a total enterprise value of approximately $82.7 billion (equity value of $72.0 billion).”
“The transaction is expected to close after the previously announced separation of WBD’s Global Networks division, Discovery Global, into a new publicly-traded company, which is now expected to be completed in Q3 2026”, as per Netflix.
This acquisition brings together the iconic Pioneering brand with the new-age heavy hitter.
“Two pioneering entertainment businesses, combining Netflix’s innovation, global reach and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling.”
Ted Sarandos, co-CEO of Netflix. Commenting on the significance of the deal, Netflix said:
“Our mission has always been to entertain the world,” said Sarandos,“ By combining Warner Bros.’ incredible library of shows and movies—from timeless classics like Casablanca and Citizen Kane to modern favorites like Harry Potter and Friends—with our culture-defining titles like Stranger Things, KPop Demon Hunters and Squid Game, we’ll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling.”
