Netflix has submitted the highest offer among suitors to buy Warner Bros Discovery, a source told Reuters on Thursday, in a deal that could reshape the media sector.
The streaming giant’s proposed acquisition of Warner Bros. Discovery studios and streaming unit is expected to reduce costs for users by bundling Netflix and HBO Max, Reuters reported on Tuesday.
Netflix and Warner Bros Discovery did not comment on the matter.
According to the Wall Street Journal, Warner Bros. Discovery is seeking another round of proposals from suitors by the end of Thursday, after Paramount Skydance accused Warner Bros. Discovery of conducting an unfair sales process that favors Netflix over other competitors.
Warner Bros. Discovery reportedly received more advantageous offers from potential competitors – Paramount, Comcast and Netflix – earlier this week, after asking them to improve on initial proposals presented in late November.
In a letter sent to Warner Bros Discovery chief executive David Zaslav, Paramount’s legal team raised concerns about the ‘fairness and appropriateness’ of the process, citing media reports that Warner Bros Discovery management favors Netflix’s proposal, CNBC reported.
Continues after advertising
Paramount Skydance, led by David Ellison, has requested confirmation on whether Warner Bros Discovery has formed a special independent committee of impartial board members to evaluate offers and oversee the sale process, according to CNBC.
Paramount and Comcast did not immediately respond to Reuters’ requests for comment.
Paramount’s offer involves the purchase of the entire group.
Continues after advertising
In October, WBD’s board turned down an offer of about $60 billion from Paramount and then launched a formal sale process.
