Paramount plans to keep Warner Bros largely intact after merger, Bloomberg News reports
Gifts and collections of Harry Potter-themed goodies are displayed at the main shop inside 'Warner Bros. Studio Tour Tokyo - The Making of Harry Potter' during a press preview before it officially opens to the public on June 16, 2023, in Tokyo, Japan June 14, 2023. REUTERS/Issei Kato
Paramount Skydance plans to keep much of Warner Bros Discovery intact if the two companies merge, with CEO David Ellison aiming to retain creative teams at both studios while streamlining marketing and distribution, Bloomberg News reported on Monday.
Reuters could not immediately verify the report. The companies did not immediately respond to Reuters' requests for comment.
Last week, Reuters reported Warner Bros board rejected a nearly $60 billion offer from Paramount.
No decisions have been made on whether Paramount would divest real estate assets tied to either company, the Bloomberg report said, citing people familiar with the matter, adding that under Ellison's plan, Warner Bros' HBO Max streaming service would merge into the existing Paramount+ platform.
There are no plans to sell or spin off the cable networks of either business, the report added. Although Paramount's CBS News could potentially share resources with Warner Bros' CNN news division, according to the report.
Ellison also aims to leverage emerging technologies and artificial intelligence to ramp up production, targeting 30 films annually across the combined entities, the report said.
Warner Bros, the studio behind the "Harry Potter" and DC Comics film franchises, announced that it would explore its options for the sale of the company.
David Ellison's Paramount Skydance is seen as the top contender to buy Warner Bros Discovery, with analysts and experts saying the tech scion's access to deep pockets and Washington ties give him an edge in what could be the media industry's biggest merger in years.
