Greg Peters, co-CEO of Netflix, has rejected Paramount Skydance’s $108 billion hostile bid for Warner Bros. Discovery (WBD), stating that it is not feasible without Larry Ellison’s financial support. He also openly questioned whether Paramount-Skydance’s $108 billion hostile bid for Warner Bros. Discovery (WBD) could be profitable. Peters stated in a Financial Times interview that Paramount’s plan “doesn’t pass the sniff test” and is overly dependent on debt and outside funding. He claimed that Netflix’s updated $82.7 billion all-cash offer is significantly more reliable. Peters remarked, “That extra leverage needed for Paramount’s bid is pretty crazy.”
According to Peters, the competing bid “doesn’t pass the sniff test” and is solely dependent on the financial support of Larry Ellison, the creator of Oracle and the father of David Ellison, CEO of Paramount-Skydance.
Netflix is favoured by shareholders. The article states that after the board rejected its offer, Paramount went straight to WBD shareholders. Nevertheless, according to the initial filings, Paramount has only acquired roughly 7% of WBD shares, which is significantly less than the majority required to take over. Additionally, analysts note that investors leery of debt-heavy mergers are becoming more receptive to Netflix’s cash-backed offering.
A possible merger between Netflix and Warner Bros. would transform Hollywood by fusing Netflix original series like Stranger Things and Squid Game with popular properties like Game of Thrones and Harry Potter.
Filmmakers, unions, and theatre owners are worried about Netflix’s increasing sway over theatrical releases as a result of the merger.
In an effort to allay those concerns, Peters promised that Netflix would respect Warner Bros.’ customary 45-day theatrical window. Given the deal’s broad ramifications for consumer choice and competition, regulators in the United States and Europe are anticipated to closely examine it.
Peters highlighted that Netflix’s adversaries in the streaming and entertainment industry go beyond traditional studios, including YouTube (Alphabet Inc.), Amazon.com Inc., and Apple Inc. Additionally, he pointed out that in most markets, Netflix makes up less than 10% of TV viewing hours, highlighting the dispersed nature of media consumption worldwide.
More details of the ongoing 2026 acquisition battle for Netflix’s rebuttal in which Peters called Paramount’s offer “unrealistic” and “saddled with quite a lot of debt” ($55 billion to $87 billion). He maintained that there is “no chance in hell” if Larry Ellison does not personally back the purchase with a $40 billion guarantee. Paramount might succeed.
The present situation is that the WBD board has consistently turned down Paramount’s proposals in favour of Netflix’s more transparent financial structure. As of January 2026, around 93% of WBD shareholders apparently rejected the Paramount plan in favour of the Netflix merger, while just about 7% of stockholders had offered their shares to Paramount.
For the deadlines there is an effort to persuade investors; Paramount has extended the deadline for its hostile tender offer until February 20, 2026.
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