Netflix Inc (NASDAQ:NFLX, XETRA:NFC) and Warner Bros. Discovery Inc (NASDAQ:WBD, XETRA:J5A) announced Tuesday that they have amended their definitive agreement for Netflix's pending acquisition of Warner Bros.
CNBC's David Faber delivers his latest on the Warner Bros. Discovery deal.
Stock futures are sinking Tuesday morning amid rising geopolitical concerns; President Donald Trump has threatened new tariffs on a number of European countries unless the U.S. is allowed to acquire Greenland; gold and silver prices are surging to new record highs as investors turn to safe-haven assets; tech stocks are under pressure amid the volatiity; and Netflix's latest quarterly results are due after the closing bell as the company sweetens its offer for Warner Bros. Discovery.
In an effort to sweeten the pot for Warner Bros. Discovery (WBD) shareholders, Netflix is now offering cash for shares of the company, revising the cash-and-stock deal it had struck with WBD's board earlier.
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Netflix sweetened its deal to buy Warner Bros. Discovery's studios and HBO streaming business to an all-cash offer, the companies said Tuesday.
The revised agreement replaces Netflix's earlier cash-and-stock offer and is expected to speed the deal toward a shareholder vote by April.
Netflix adjusted its offer for Warner Bros. Discovery's assets from a mix of cash and stock to an all-cash bid, according to an SEC filing on Tuesday.
This is a developing story.
The change addresses one of Paramount's arguments of why its buyout bid was better than that of Netflix — it didn't include stock.
Netflix submitted an amended all-cash offer for Warner Bros Discovery's studio and streaming businesses, winning the unanimous support from the HBO owner's board without increasing the $82.7 billion purchase price, according to a regulatory filing on Tuesday.