Warner Bros Rejects Paramount’s Latest Bid But Gives David Ellison’s Firm A Week To Submit ‘Best And Final’ Offer— WBD, PSKY Stock Up Before The Bell

Namrata Sen

Fri, February 20, 2026 at 11:30 AM GMT+9 2 min read

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•                                       StockStory Top Pick 
  

  NFLX

  -1.27%

 WBD  

 -0.90%  

 

 

 DIS  

 -1.03%  

 

 

 PSKY  

 -1.62%  

Warner Bros. Discovery (NASDAQ:WBD) on Tuesday rejected the latest hostile takeover bid from Paramount Skydance (NASDAQ:PSKY), giving the David Ellison-led company until February 23 to submit its “best and final offer.”

This offer can be matched by **Netflix Inc. **(NASDAQ:NFLX) under the terms of the merger agreement, Warner Bros said in a statement.

In the pre-market trading session on Tuesday, shares of Warner Bros. Discovery and Paramount climbed 2.72%, each, while Netflix was trading 0.70% higher at last check.

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Paramount had informally proposed a higher share price of $31, which seemed to have piqued the interest of the Warner Bros board. However, Warner Bros Chairman Samuel DiPiazza Jr. and CEO David Zaslav clarified in a letter to the Paramount board that their proposal has not been deemed superior to the Netflix merger. They reiterated their commitment to the transaction with Netflix.

Netflix-Paramount Merger Battle Intensifies

This development follows a series of events in the ongoing merger saga. Earlier this month, activist investor **Ancora **took a stake in Warner Bros and opposed Netflix’s offer as Paramount sweetened its bid for the HBO owner. Paramount’s revised bid included a “ticking fee” payable to its shareholders for any potential delays in receiving regulatory approval for the deal, and a $2.8 billion termination fee payout to Netflix.

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In December, Netflix agreed to buy Warner Bros. studios and HBO Max for $27.75 per share, following WBD’s planned cable network spin-off. Paramount then launched a hostile all-cash bid for the entire company, including CNN and TNT, sparking a high-stakes battle. So far, Warner Bros. Discovery’s board has remained committed to the Netflix deal, citing better value and regulatory clarity, despite Paramount’s push to sway shareholders.

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This article Warner Bros Rejects Paramount’s Latest Bid But Gives David Ellison’s Firm A Week To Submit ‘Best And Final’ Offer— WBD, PSKY Stock Up Before The Bell originally appeared on Benzinga.com

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