In a dramatic twist to the ongoing battle for control of Warner Bros. Discovery, the media giant has revealed that a fourth, previously undisclosed company made a massive $25 billion cash offer for its key businesses in November. This revelation came to light in a recent filing with the US Securities and Exchange Commission (SEC), adding another layer of intrigue to a high-stakes corporate saga that already involves streaming titans Netflix and Paramount.
The Four-Way Bidding War Unveiled
According to the official SEC filing made public on Wednesday, Warner Bros. Discovery confirmed it received preliminary acquisition offers on November 20. The bidders were Netflix, Paramount Global, and two other entities referred to as "Company A" and "Company C." While the identities were initially masked, industry analysis strongly suggests that Company A is the telecom and media conglomerate Comcast. The filing notes that Company A's bid was specifically for Warner's film and streaming assets, a move that aligns perfectly with Comcast's known strategic interests.
The mystery, however, deepens with Company C. Warner Bros. Discovery provided few clues, describing it only as an American media company. Its proposal, however, was bold and specific.
Inside the $25 Billion Mystery Offer
The SEC document details that the founder of this enigmatic Company C first expressed interest on October 23 by calling Warner Bros. Discovery's Chief Financial Officer, Gunnar Wiedenfels. The formal proposal, submitted on November 20, was staggering.
Company C offered to acquire the Discovery Global Networks business and a 20% stake in the combined Warner Bros. Discovery streaming and studios unit. This package notably included the prized HBO Max streaming service. The total offer was valued at $25 billion in cash. Furthermore, the bidder requested a 90-day exclusivity period to negotiate the deal privately.
Despite the eye-watering sum, the offer was short-lived. In a meeting held on November 21 with WBD Chairman Samuel DiPiazza and other senior leaders, the company decided Company C's proposal was "not actionable at that time." The focus remained on engaging with Paramount, Netflix, and Company A (Comcast) to improve their bids.
How Other Giants Stacked Up
The filing also shed light on the competing proposals. Comcast's (Company A) offer to merge its NBCUniversal division with Warner Bros. Discovery reportedly valued the latter's interest in the combined entity at a whopping $81 billion. For Warner's streaming and studio assets alone, Comcast proposed a price of $35.43 per share.
Ultimately, it was Netflix that emerged successful. The streaming pioneer's buyout bid, which offered $27.75 per share in a mix of cash and stock, was accepted by the Warner Bros. Discovery board. This decision marks a significant consolidation in the global media and entertainment landscape, positioning Netflix to gain control of iconic franchises and a vast content library.
The revelation of a fourth serious bidder underscores the immense value and fierce competition surrounding legacy media assets in the age of streaming. While Company C's identity remains a corporate secret for now, its $25 billion play confirms that the battle for Hollywood's crown jewels is far from over.
