Edgar Bronfman Planning Offer for Paramount Global

Media executive Edgar Bronfman Jr. is preparing a bid for Paramount Global and National Amusements, Shari Redstone’s family company that controls the entertainment giant, in what would mark the latest twist in one of the messiest media mergers in recent history, according to The Wall Street Journal. 

Bronfman, who formerly ran Warner Music and liquor giant Seagram, has held discussions to team up with a number of individuals and companies to back his bid, according to people familiar with the matter. They include Fortress Investment Group, streaming-device maker Roku and Hollywood producer Steven Paul, who previously had expressed interest in making a bid for National Amusements.

A bid could be made in the coming days, the people said. Discussions are still continuing, and it remains possible that no formal bid comes out of the effort.

If a bid is made, it would come more than a month after Redstone agreed to sell her media empire to David Ellison’s Skydance Media, in a complex deal that saw many fits and turns.

Edgar Bronfman

That deal is subject to a “go-shop period,” when other potential buyers can make offers, which ends Aug. 21. And if Paramount chooses to go with another offer, it will owe Skydance a breakup fee of $400 million, according to a securities filing.

Bronfman earlier this year also expressed interest in buying National Amusements but didn’t make a bid, joining a remarkably long list of suitors for the company. 

Since Redstone began speaking to Ellison late last year about a possible deal, a number of individuals and companies including Warner Bros. Discovery and IAC Chairman Barry Diller have expressed interest in buying Paramount, which owns MTV, Comedy Central, CBS and the renowned movie studio. Buyout firm Apollo Global Management and Sony Pictures submitted a joint bid for the company. 

Skydance had to revise its offer to buy National Amusements and merge with Paramount after an initial bid prompted a shareholder revolt because it was seen by many of them as a sweetheart deal for Redstone. Amid the back and forth between the parties, Paramount parted ways with its CEO Bob Bakish, who had voiced concerns about the deal, as well as four of its directors. 

In June, when it looked like a deal with Skydance was just days away, Redstone abruptly changed her mind, ending discussions to sell her stake. Yet the parties kept talking, and Skydance once again sweetened its deal for shareholders and offered Redstone more protection against shareholder lawsuits—leading to a deal announcement early last month.