Skydance-owned Paramount on Friday agreed to delay closing its $81 billion buyout of Warner Bros. Discovery well into next year, as a judge continues to consider a challenge from 12 states seeking to block the deal altogether.
In a court filing, Paramount said it wouldn't close the merger until five days "after the merits determination in these matters" or June 1, 2027.
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The move arrives just days after U.S. District Judge Araceli Martínez-Olguín granted a temporary restraining order requested by the states to freeze the transaction for several weeks.
Twelve states, led by California, sued to block Paramount's pending buyout of Warner last month — alleging that such a combination would "extinguish competition" in Hollywood and lead to fewer choices for consumers, particularly moviegoers and cable customers.
“History tells the tale of what happens when a few people have great power over markets that are central to Americans' lives: fewer opportunities for more people, worse products and services for all people," said California Attorney General Rob Bonta. "With our lawsuit, we’re fighting for a free and fair market and a thriving film and television industry that serves creatives and audiences alike. We have a full tank of gas, the law on our side, and look forward to continuing to make our case.”
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Paramount has called the states' claims meritless and vowed to "vigorously defend" its merger.
