Paramount Skydance completes $110 billion Warner Bros Discovery takeover
David Ellison assumed control of the combined entertainment company as shares shifted to the New York Stock Exchange under the ticker SKYD, uniting film studios, streaming services, and television networks under an $80 billion debt load.
Paramount Skydance finalized its $110 billion acquisition of Warner Bros Discovery on 6 October 2026, establishing a single media entity operating under the name Skydance. Founded in 2010 by David Ellison, the son of Oracle co-founder Larry Ellison, Skydance expanded from an independent production company into a studio conglomerate after backing films such as Top Gun: Maverick. The transaction unites Paramount Pictures and Warner Bros alongside television networks including CBS, CNN, MTV, and HBO. Shares of the combined company transferred from Nasdaq to the New York Stock Exchange on Tuesday to trade under the ticker SKYD. The Ellison family holds the largest equity stake in the new corporation, which projects annual revenue of nearly $70 billion across its operations.
The closing concludes a multi-stage consolidation process that began in August 2025 when Skydance Media merged with Paramount before launching a bid against Netflix for Warner Bros Discovery. Skydance executives, including chief legal officer Makan Delrahim, presented their acquisition proposal to institutional investors in December 2025 during the UBS Global Media and Communications Conference in New York. Paramount reached an agreement with Warner Bros in February 2026 following a bidding contest that also drew interest from Comcast. The transaction paid out Warner Bros Discovery shareholders and former chief executive David Zaslav.
- David Ellison completes the merger of Skydance Media with Paramount.
- Skydance executives present their acquisition proposal to investors at the UBS conference.
- Paramount reaches an agreement to purchase Warner Bros Discovery.
- Paramount Skydance completes the takeover, trading on the NYSE as SKYD.
Regulatory clearance and distribution terms
The merger cleared regulatory hurdles after resolving antitrust challenges brought by state officials and labor organizations. A federal judge in California ratified a settlement between Paramount Skydance and 12 state attorneys general who had filed suit to block the transaction. The state attorneys general argued that the combined entity would control roughly 27% of the theatrical film distribution market and over 30% of blockbuster releases, while increasing market concentration across basic cable television networks.
Under the terms of the judicial settlement, Skydance agreed to follow a designated schedule of theatrical film releases. The company also reached agreements with a Hollywood writers union, removing the final legal barriers to completing the acquisition. Activate Strategy chief executive Michael J. Wolf assessed the market position of the combined firm.
Scale puts them in the right position. Now they have to deliver against scale.
Executive leadership and corporate structure
David Ellison serves as chairman and chief executive officer of Skydance, directing corporate strategy and creative development. Former Mattel chief executive Ynon Kreiz joined the organization as co-CEO to manage day-to-day operations and lead the integration of the two corporate entities. Several key Warner Bros Discovery leaders remain in executive roles, including HBO chairman Casey Bloys, CNN chairman Mark Thompson, Discovery streaming executive JB Perrette, and DC Studios co-heads James Gunn and Peter Safran.
Ellison addressed the consolidation in an official statement released following the formal completion of the transaction.
From the beginning, our ambition was to unite these two studios of great heritage and create a stronger competitor. Now this ambition is a reality.
Debt obligations and cost reduction targets
The merged corporation carries an $80 billion debt load that requires immediate servicing across its three primary operating divisions: Studios, Direct-to-Consumer, and TV Media. Skydance management established a plan to achieve $6 billion in cost savings, with executives stating that non-labor efficiencies will form a substantial component. These savings will involve consolidating streaming technologies and shared cloud providers between Paramount+ and HBO Max.
- Planned cost savings
- 6 $B
- Assumed debt load
- 80 $B
Ellison and Kreiz acknowledged in an internal staff memo on Tuesday that the operational integration will involve workforce reductions across overlapping departments. The company plans to maintain production schedules on active entertainment projects, including a Game of Thrones feature film and a Days of Thunder sequel, while managing the portfolio of cable networks such as TNT Sports, Nickelodeon, Food Network, and Comedy Central.
