WB

Ok_Hand5810

The WB deal fell through?

sonofdang

I havent taken a hard look or run numbers (I wouldnt know how), but while BRK often moves contrary to VOO it's also way down vs VOO over almost any period you look at. If a calculation is being made that includes April of last year (around when WB officially stepped out), that would skew results significantly... it weirdly mirrors the spike in VOO at that same time.

moorhound

I tuned in halfway through that speech, and got: - Said a Saudi princess had a nice ass - Said the King of Saudi Arabia was kissing his ass - Talked about how much he likes eugenics - Implied the vaccine-autism thing - Implied the Ellisons bribed him for the Tiktok and WB deals - Offered to answer questions about sex to an audience of Muslims - Said he's not calling it a war so he won't need Congress to approve it - Said he put off the invasion and will be going at it "very shortly" It's like someone hit him with the Liar-Liar curse. I'm just sitting here in absolute awe, that was fucking wild. Anyone that buys after that on Monday deserves to lose their money

VenomBite214

Does it really matter? All rich people are on that list. Maybe except of old ones like WB and gay ones.

crustang

Gotta invest that capital so they could buy WB once Skydance starts spinning off their assets, at the end of the day the only wanted CNN

InternetHistorian01

Like WB, that's good

Stepfordhusband69

So glad WB didn’t get bought by these scammers

junk90731

Maybe now that the WB deal feel through they buy them out for way less

wrongrobertpatrick

I’m going all ALAB, VRT, MOD, ETN, WB, BE, NVT

Several-Avocado5275

DCA weekly since 2/28. “Be fearful when others are greedy, and greedy when others are fearful.” WB - not the exact quote, but most commonly used phrase

gizamo

Similarly, contracts that ensure massive fees for cancellations and order changes. They'll make out like NFLX on the Paramount/WB deal if anyone cancels on them. Lol.

weluckyfew

I think it's not just the direct effects of higher oil prices (and the myriad things that effects) - it's that the US economy is already arguably a house of cards. Debt levels are off the charts (personal debt and national debt), the stock market is an AI bubble (I have yet to see a realistic projection as to how companies can recoup the enormous investments they're making), government investment in R&D is down, assets like Tesla and Broadcom are ridiculously overpriced, mega mergers leaving corporations with staggering debt (I read that the new WB/Paramount company will have something like $79 billion in debt)...the oil price shock might be what tips the balance. To put it another way, even if oil prices aren't a 3-alarm fire on their own, they might be the match thrown onto the pile of oily rags.

ClearEconomics5062

Ah ha. I tried buying through WB initially as I use them for options trading, and wasn’t able to. I’m in Australia and their support team told me that WBAU doesn’t allow for OTC trading, which it’s listed as under them. No issues using CMC which I bought my position through which goes through the TSX market. Good luck!

Austin_Destroyer

Except for the Saudis in on the WB Discovery deal

TriggerHydrant

guys! Chill out! They bought WB, it's all good!!

NoRiskNoGainz

Isn’t this the guy who just put up 50 billion for WB?

Cane607

This is an excellent example of what happens what a old billionaire who who lives at empty life and is terrified of death(He's big on longevity research and he said death Make him angry) decides to chase down some big, hairy audacious goal in order to fill the empty void within themselves. AI and the Paramount WB bill are excellent examples of this.

urz90

Will this affect the WB merger?

Buster_xx

I am sure buying failing WB will help../s

poozyfloor

He has to help pay for WB.

No_Assistance5652

Something tells me Saudis won’t have money to fund Ellison to buy WB 👃. I will buy orcl calls after the big dump.

ktka

So Daddy will not be footing the WB/HBO bill?

mist_kaefer

I guess David Ellison has to figure out a way to pay Netflix after buying WB. He asked his daddy for the money.

gplfalt

Have you *seen* the price of their debt? People are expecting insolvency. Not to mention the tik tok and WB deals use Oracle stock as collateral.

mneymaker

So ORCL and Mr Elison go around and vouch for the WB Paramount deal but financing the AI evolution becomes a tricky situation? How much of a bullshit can we take. Can we have massive earnings beat + guidance so they revive our AI and data centre market, next week?

UnObtainium17

Do paramount even have the money to keep the lights on once they acquire WB? This is like someone working a minimum wage job getting approved to buy a BMW M5.

Trafficsigntruther

> Part of Paramount's absurd offer was to pay the breakup fee to Netflix on WB's behalf. It doesn’t matter if Paramount or WB pay it. Either WB buys a company with $2.8B less cash or WB has $2.8B less cash.

dedgecko

Need cash for that WB deal?

thefinalcutdown

Between the AI bubble and the bonkers Paramount - WB deal, I hope the Ellisons lose everything they’ve ever built.

NVDA_Gaped_Me

Short oracle because Ellison will sell stock to pay for WB?

spaceneenja

Should have bought WB tbh, it actually makes sense

Henny_Bogan

This is MAGA. Pledge $50B to buy your son WB then lay off thousands of sons and daughters cuz F it.

botella36

Larry pledged about 40b to the WB deal as a backstop to the loans. If the new Paramount does not have the cash flow to service the debt, Larry will have to sell something.

poozyfloor

Daddy needs to pay for WB.

DISAPPOINTING_FAIRY

they're still just relieved it didn't buy WB

Any-Log-6706

I believe this for three reasons. One, that’s what he uses to go back and blabber about for the elections (which they may lose anyhow). Second, it’s the Covefe factor of what I feel is constant market manipulation by them for their benefit. I mean the way they strongly manipulated the WB/Netflix/Paramount merger (even had the Netflix CEO at the White House to tell him to back out), all while making financial investments of those companies on the other end. Betting market transactions just before the war operation initiated. Last, he hates things that require alot of thought and having to administer. Has a discussion about this operation and he jumps into what he really loves - construction and tacky interior design. Even admitted how much he loves it. Actual governing and dealing with bureaucracy - hates it. Eventually this operation will require alot more of that and he’s going to call it good enough. Just like Canada as 51 state, “give me” Greenland, “new government” in Venezuela.

clerkguy

They can separate the company and just buy the studio...they don't want hassle of all TV cable crap...not sure but maybe Paramount could sell WB library separately from Paramount library...who knows? All hypothetical

CFDsForFun

God if you thought the Netflix WB deal was good for Netflix…of course it would go up on being denied. Was way overpriced.

mykeedee

WB already agreed to be purchased by Netflix, part of that agreement was a breakup fee paid to Netflix if WB backed out of the deal. Part of Paramount's absurd offer was to pay the breakup fee to Netflix on WB's behalf.

georgejetsonn

This was such an aikido move from Netflix. Bait Paramount to load up on debt to bid on WB, then just step aside at the last moment and watch them faceplant

Strength-InThe-Loins

Netflix was in line to buy WB, and they'd signed some kind of deal promising Netflix 2.8B if the purchase didn't end up happening. 

KingofMadCows

We could see a repeat of the AOL WB merger. Both previous WB acquisitions were disastrous.

MIT_Engineer

Paramount isn't paying with IOU's they're paying in cash. Either they can come up with it or they cant, and if they *can't* then WB can just turn around and say deal's off. WB shareholders are popping champagne bottles, they don't have to worry whether Paramount's good for it. The people who should be doing due diligence here are the people loaning money to Paramount / Paramount shareholders. The shareholders in this case are the Ellisons, they have control over the voting majority. The people loaning the money for this deal are *also* the Ellisons, as well as the Saudis. The Saudis are the biggest source of dumb money in the room, they can get conned into investing into practically anything, which is why their sovereign wealth fund consistently underperform the market. But when you're sitting on an oil-based money printer, it isn't a crisis if your sovereign wealth fund makes 3-4% less per year than it should. So that's the short of it. All of the accountability for the deal is on either the people who are pursuing this deal for ideological reasons, or on people too stupid to know they're getting took, or both.

AVRVM

With how data centers are looking and Paramount/WB have been doing, wouldn't be surprised if the Ellisons are bankrupt by 2028.

iiiiiiiiiijjjjjj

I’d like to see this as well. Like what’s the goal here, when your CLTD cost more than heaven itself. what WB property do think they think will lift them out the hole?

cosmogatsby

Netflix will acquire both for less than their original offer for WB in a few years.

movzx

...So you know nothing about WB. (Hint: they're not up for sale because they thought it would be fun)

jaboyles

Only thing worse than WWIII is the thought of Paramount gutting WB for parts. No more Dune, or House of the Dragon, or Knight of the Secen Kingdoms. It's all gonna go to shit.

mal73

Honestly at $2.8b for WB and PSKY together, I might swoop in and get it myself

d_wilson123

Nah Apple and Netflix pay basically double what you'd make working at WB or Paramount. If you are elite level tech talent you've already left for Netflix.

errantv

WB/Disc has only been profitable for 2 quarters since their merger finalized in '22

StanTheManBaratheon

Strange move to buy a studio that also can't produce billion plus dollar films. The only movie of the 2020s that WB's made that crossed it was, what, 'Barbie'? Neither 'The Batman' nor 'Superman' did, 'Dune Pt. 2' is too niche, and Zaslav literally antagonized the greatest living director into leaving the studio. Look at the big brain on Brad, this merger is genius.

PureOrangeJuche

FCC chair says PSKY WB deal will be approved very quickly and is a “clean” deal. Gee this antitrust stuff is so simple when you just have state media goons running everything 

Kryohi

Funniest thing Netflix could do is use that money to create direct competition to the remaining WB-owned services they still don't compete with, and steal employees from WB/Paramount with that money as well.

Remember54321

"Hold on guys, I need to go take a shit" - WB

uLL27

This is the way I see it. WB could careless about the debt, that's a paramount problem. As long as the check cashes. It would be quite funny if at the last minute paramount couldn't pay and then WB goes crawling back to Netflix. Lol

AVRVM

As long as the WB shareholders get paid for their stock in cash, I doubt they would care.

AVRVM

To put this in perspective, PSKY has had a negative net earning in the billions negative both last year and the year before. And this debt will add -2.7B in debt servicing to it. WB has been having similar issues.

National-Adagio7696

Yeah what are people selling thinking? It just dropped of that shitty deal with WB and instead of buying they sell because of some shithole who doesn't even own netflix

downundafumunda

yuuup one week. trumpo has a back door to opec through the just announced Paramount sky dance WB merger that just happened to be SAUDI backed through Kushner... PSKY rides with aggrestion all the saudi backed sports just got a huge pipeline...

GoochPhilosopher

NFLX just sitting back stroking its massive dong watching Paramount and WB destroy themselves

belizeans

What I want to know is who at WB gets the $110 billion dollars from Paramount? The shareholders?

Soffatjockis

Netflix could end up buying everything for less than the WB deal lol

garlic-silo-fanta

And before that AOL. And before that Time. Everyone got burned but the next one always thinks they can do better. WB is toxic.

tbuitommy

The spike to $87 was the news that WB deemed the Paramount offer "superior". Now it's a coin flip whether Netflix will bid up to match the offer or bow out, so either back to $75 or spike up to $100. The speed with which they responded was their gift to you.

Rosebunse

Yeah, but that's two subscriptions. And what if they make the WB stuff way more conservative?

Rosebunse

Paramount makes niche content and is having trouble with their IPs. There is a reason they are losing money. If they make WB produce more of the same, then what?

Material-Macaroon298

Paramount makes good content. WB also makes good content. I would trust Paramount/WB far more to produce a quality movie than Netflix or Amazon Prime - and Disney is good in its niche but not a first choice for making more adult themed media. And in any case, if I think back on actual good and rewatchable movies, many will be on this Paramount/WBD streaming service even if they somehow stop making much new that is good.

GoochPhilosopher

It's funny that Paramount and WB are just going to destroy themselves with this deal, and NFLX will step in and swallow up the remains like the hungry gigachungus it is.

Rosebunse

Only if you actually add content people want. There is a real possibility they turn WB into Paramount and then what's the point?

SpenB

Universal/Comcast was bidding on WB but dropped out early because of how high the price was getting.

Total_Schedule591

They didn't complete the WB deal just to tank the market. Dont be too dumb, Ai and tech resurgence, market super shrek

SpenB

Randall Stephenson would be right at home here on WSB. Between WB and DirecTV, he lost AT&T like $100 billion over a 5 year period.

tantej

Yay let them lose their money. WB is like a cursed albatross

ZealousidealPound460

Forgive the ignorance: big 6? 1. Disney 2. 20th century Fox 3. WB 4. Paramount 5. ? 6. ?

xdude767

Netflix just preparing a bid for Paramount-WB in a few years after they go bankrupt

Beautiful_Bit309

I saw a theory that Netflix never intended to actually buy WB they were just juicing the price to make it a bad deal for Paramount

Urc0mp

Eventually WB would have bought AI companies. Technically Berkshire has some.

grandfatherdog

Decided they didn't want WB

hajemaymashtay

looking forward to the day when there is actual antitrust enforcement and WB/P are broken up so the 2.8B was for nothing. Fuck Netflix too

Yin-Hei

Still have to answer why they did that deal in the first place. Now you’re stuck knowing that management tried to sleep with WB

wayne099

WB investors don’t care where the money is coming from. It’s backed by Larry Ellison who is providing $47 billion in equity. Additional financing includes $54-$57.5 billion in debt from banks like BofA and Citigroup

DopeAbsurdity

They somehow are also paying $111B for WB so.... yeah so only 6 to 8 times the value of their own company.

OneRougeRogue

Not only.are both companies riddled with debt, the buyers had to leverage the assets of WB as collateral for the loans they took out to buy it. So they can't even really do any classic corporate raiding.

OhMorgoth

I actually believe this is the better decision. Shareholder value will be maximized but not bleeding money that will have to go to fix all the things broken with WB.

Fancy-Dig1863

Very long dated puts on WB it is I guess

jgnexus

I say this as a Netflix shareholder, it could of easily gone the other way. Last night I breathed an audible sigh of relief that they were dropping out of the WB bid. I'm not usually emotionally invested in stocks, but man that was a long last few months.

Sckathian

What happens if WB just switches back to Netflix?

reformed_lurker_1

In 5 years they’ll probably be able to get WB for much less than today. Big brain moves from Netflix. Let paramount run it into the ground, buy up later. Then again, money is no object to these billionaires. This is the equivalent of them losing a couple of bucks in exchange for cultural power and media influence. Billionaires really shouldn’t exist. When they have to much wealth they start doing shit like this instead of using it in a way that benefits society.

tmssqtch

WB and Paramount’s back catalog is too valuable. Of course they’ll want it cheap.

TheFish77

See thing is, people don't know the difference between real and obvious satire Kinds of like the reports that paramount will be buying WB. These reports are obvious satire because WB executives would be compete dolts to approve it.

hermeskino715

So what happens if Paramount doesn't work out? Does WB have to pay an extra 7b to Paramount on top of the ~3b to NFLX? Lmao

silent_fartface

And then when Paramount goes broke from the debt, Netflix can use that 2.8B breakup fee to aquire control over paramount and WB! Masterclass.

zazon5

Then three years from now, they buy Paramount and WB for less than their original deal. 

Few-Monk1664

I was talking about Trump losing his powers means his billionaire cronies won’t be able to get these corrupt deals like WB or TikTok anymore. Who knows, may be there will be investigations as well

Dick-Guzinya

So clearly Trump offered to take pressure off Netflix asking for board resignations if they bow out and let Paramount acquire WB

mattxb

I’m sure this isn’t about hiding corruption. They probably want a standalone entity that paramount or Ellison can buy to pay trumps brokerage fee for the WB deal.

Fockelot

Why pay more when paramount is going bankrupt? Just let them drive the company into the ground and buy either WB or DC at a fraction of the cost. The idea that paramount who posted record losses and stocks down 70% has billions of dollars to buy another company is laughable. It’s a cup game of debt in the dumbest way possible.

Reddituser183

This admin is truly criminal, nothing is stopping them from getting their way. They just put WB in the hands of paramount to expand the propaganda network and curb free speech. Truly fucking Orwellian.

Briantastically

And the upshot will be Paramount will merge with WB and they will leverage synergies to maximize potential and achieve a nearly 100% failure rate. There is no timeline where Paramount buys WB and they don’t both sink like lead weights.