The total transaction value is estimated at approximately $82.7 billion (including approximately $72 billion in equity value). The price is $27.75 per share of WBD in the form of cash and Netflix stock.
The transaction is planned to be closed within 12-18 months, but not before the completion of the separation of the Global Networks division from WBD into a separate public company Discovery Global (expected in the third quarter of 2026). It will include, in particular, the CNN, TNT Sports, Discovery brands and the Discovery+ and Bleacher Report services.
After the merger, the cult franchises and projects of Warner Bros. will be under the Netflix brand. and HBO – from Harry Potter, Friends, Game of Thrones and the DC Universe to classic films such as Casablanca and Citizen Kane. This will complement Netflix's own hits, the publication said.
According to the companies, the merger will expand catalog and choice for audiences around the world, strengthen production capabilities and investment in original content, create new opportunities for the creative community, and attract and retain subscribers while increasing revenue and profits. Netflix expects annual savings of $2-3 billion by the third year after the deal closes and earnings per share growth by the second year.
The deal was unanimously approved by the boards of directors of both companies. It still must obtain regulatory approvals and approval from WBD shareholders.
