New York: Warner Bros. Discovery, the US media conglomerate that owns HBO, CNN, and other networks, has announced it is exploring a potential sale after receiving multiple unsolicited offers.
Chief Executive David Zaslav said the board would review its options to determine the “best path … to unlock the full value of our assets.” “After receiving interest from multiple parties, we have initiated a comprehensive review of strategic alternatives to identify the best path forward to unlock the full value of our assets,” says Zaslav.
Among the reported suitors is David Ellison’s Paramount Skydance, highlighting growing consolidation in the media industry as companies face pressures from the rise of streaming services and declining traditional pay-TV audiences and advertising revenue.
Warner Bros. Discovery itself was formed three years ago through a merger that brought together Warner Media, previously part of AT&T, and Discovery, owner of networks including the Food Network and HGTV. However, the deal left the company heavily indebted, and the firm has struggled with profitability.
Earlier this year, Zaslav indicated plans to potentially break up the company, separating streaming operations from traditional cable networks. Analysts say Warner Bros. Discovery’s extensive library, featuring franchises such as Harry Potter, The Lord of the Rings, and Looney Tunes, makes it particularly attractive for firms looking to expand their streaming catalogues. In contrast, the appeal of its cable networks is less certain.
Board Chairman Samuel Di Piazza said the company still believes in the merits of its original split plan but would now consider all options, including the sale of the entire business or selected assets. He added that there is no set timeline for the board’s review.
Paramount Skydance’s reported interest has drawn particular attention, coming weeks after the company completed its own merger. Analysts note that the Ellison family’s close ties to US President Donald Trump could facilitate regulatory approval, citing the administration’s previous support for the Skydance-Paramount merger.
Any potential sale could face government scrutiny over competition and antitrust concerns, though analysts believe the Paramount bid has a relatively strong chance of clearance.
