Shareholders of Warner Bros. Discovery has approved Paramount’s takeover bid, advancing an $81bn deal that could reshape the global media industry.
The company said on Thursday that an overwhelming majority of investors supported the offer of $31 per share. Including debt, the transaction is valued at nearly $111bn based on Warner’s current shares.
David Zaslav, chief executive of Warner Bros. Discovery, called the vote “another key milestone toward completing this historic transaction”. Paramount said it expects to close the deal in the coming months and aims to build a “next-generation media and entertainment company”.
The merger would unite major assets across film, television and streaming. Warner’s HBO Max, CNN and franchises such as Harry Potter would sit alongside Paramount’s CBS network, Paramount+ platform and films, including Top Gun.
The deal still faces regulatory scrutiny. Critics warn that further consolidation in an already concentrated industry could reduce competition, lead to job losses and limit creative diversity. Some are pushing for legal challenges in the United States and abroad.
Warner shareholders also rejected a separate proposal on post-merger executive pay.
Paramount’s bid followed a prolonged contest. Warner had initially favoured a $72bn agreement with Netflix, but Paramount later made a higher offer directly to shareholders, prompting Netflix to withdraw.
Opposition has come from across the industry. Thousands of actors, writers and directors have warned the merger could result in fewer opportunities and greater centralisation of power. Advocacy groups have described the vote as a setback and vowed to continue challenging the deal.
Political concerns are also growing. California Attorney General Rob Bonta said the state is investigating the transaction, while Senator Elizabeth Warren warned it could become an “antitrust disaster”.
Paramount chief executive David Ellison has argued the merger would benefit audiences, citing plans for a larger content library, a 45-day theatrical window and around 30 film releases a year across the combined company.
However, regulatory filings suggest cost-cutting measures, including job reductions and restructuring of overlapping operations, are likely. Critics also warn of potential price increases for streaming services.
The deal has raised questions about editorial independence. Changes have already been reported at CBS News, and similar concerns have been voiced about CNN’s future if the takeover proceeds.
International regulators are also reviewing the merger. Funding includes investment from sovereign wealth funds in Saudi Arabia, the United Arab Emirates and Qatar, although these investors will not have voting rights in the combined entity.
Shares in Paramount Skydance fell about 4.5% at Thursday’s close, while Warner Bros. Discovery’s stock also edged lower.
