Paramount Special Committee Approves Sale to Skydance Media

A consortium led by David Ellison’s Skydance is nearing the end line on its new deal to amass Paramount World.

In line with sources, Paramount’s particular committee has signed off on the refreshed deal from Skydance, RedBird Capital and different traders.

A month in the past, after all, Skydance was near sealing the deal, however Shari Redstone — who controls Paramount by way of her household’s Nationwide Amusements holding firm — nixed the settlement on the final second earlier than the particular committee voted on the deal.

With approval of the committee, the deal is prone to transfer ahead (the total board nonetheless must log out, one supply says, and Redstone might at all times again away as soon as extra). However there’s a catch this time round. In contrast to the final settlement, a supply says that the deal features a “go-shop” provision, which might enable NAI or Paramount a set interval to see if a greater provide emerges.

Different potential patrons which have circled Paramount have included a consortium of Sony and the non-public fairness agency Apollo, in addition to producer Steven Paul, Barry Diller and his IAC holding firm, and Seagrams inheritor Edgar Bronfman Jr. It’s not clear if any of the opposite bidders will be capable of high Skydance’s provide.

Since Skydance’s final deal fell aside, Paramount’s Workplace of the CEO — comprised of Chris McCarthy, Brian Robbins and George Cheeks — have advised workers that they’re already executing on their strategic plan, which consists of adjusting the corporate’s streaming technique to hurry up its profitability, lowering prices and divesting some noncore companies.

However the trio additionally warned workers at a city corridor late final month that the deal talks have been unlikely to subside.

“Earlier than we start right now’s presentation, we’d prefer to take a second to acknowledge the challenges of all of the M&A hypothesis surrounding our firm,” Robbins advised the viewers of workers. “We all know what a tough and disruptive interval it has been. And whereas we can not say that the noise will disappear, we’re right here right now to put out a go-forward plan that may set us up for achievement it doesn’t matter what path the corporate chooses to go down.”