Warner Bros Discovery explores potential sale after unsolicited interest

Warner Bros Discovery (WBD) is weighing an outright sale after receiving unsolicited interest from multiple major players, marking a potential turning point in the entertainment industry.

The company confirmed on Tuesday that it is evaluating several strategic options, including selling the entire firm, splitting it into divisions, or pursuing a merger and spin-off structure.

Shares of WBD surged 10% following the announcement. Potential buyers reportedly include Comcast, Netflix, and Paramount Skydance, led by CEO David Ellison. Paramount previously made an offer of about $20 per share, which Warner Bros Discovery rejected for being too low.

The media giant — home to CNN, HBO Max, and the Harry Potter franchise — had already announced plans to separate its studio and cable units next year to streamline its operations. Any sale would also involve the assumption of WBD’s significant $35 billion debt load.

Analysts suggest the sale could reshape the global media landscape, as streaming competition and rising production costs continue to challenge traditional broadcasters. A deal would give the buyer control of a major film studio and a leading streaming platform.

Paramount is viewed as the frontrunner, though Netflix may pursue the company’s studio assets post-split. Comcast is also expected to review WBD’s portfolio as it prepares to spin off its NBCUniversal channels into a new entity, Versant.

Industry analysts note that the Ellison family, backed by Oracle co-founder Larry Ellison, has the resources and political connections to navigate potential regulatory hurdles if Paramount proceeds with an acquisition.

A potential sale of Warner Bros Discovery could be one of the most consequential media deals of the decade, redefining the future of Hollywood’s biggest studios.