Edgar Bronfman Jr., a prominent billionaire media investor, has reportedly raised up to $5.5 billion to enhance a last-minute offer for Paramount Global, challenging the Hollywood company’s existing agreement with Skydance Media. According to sources familiar with the matter, Bronfman initially submitted a $4.3 billion bid on Monday night, just before the expiration of Paramount’s 45-day “go-shop” period on Wednesday. This move marks a significant escalation in the battle over Paramount, one of Hollywood’s last major independent studios.
Bronfman, the former CEO of Warner Music, is expected to improve his offer after securing additional commitments from a diverse group of investors, including Fortress, which is majority-owned by Abu Dhabi’s Mubadala investment arm, private investment firm BC Partners Credit, film producer Steven Paul, crypto entrepreneur Brock Pierce, and tech entrepreneur Nurali Aliyev, grandson of Kazakhstan’s former autocratic ruler.
While Bronfman and several key investors declined to comment on the developments, it is anticipated that the involvement of foreign investment could draw scrutiny from the Committee on Foreign Investment in the U.S. (CFIUS), which assesses deals for potential national security risks. Paramount’s ownership of CBS News, a significant U.S. media outlet, adds another layer of complexity to the proposed transaction.
Bronfman’s investor group, in a letter to a special committee of Paramount directors, argued that their proposal offers a more favorable outcome for Paramount shareholders than the existing Skydance deal. However, the letter did not address how the group plans to navigate potential CFIUS concerns.
This latest offer intensifies the competition with Skydance, which had initially agreed to a deal valued at over $8 billion, including a $2.4 billion buyout of Shari Redstone’s National Amusements and a $4.5 billion merger with Paramount. As Bronfman prepares to submit a revised bid, the outcome of this high-stakes negotiation remains uncertain.
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