The proposed merger between Paramount Global and Skydance Media has moved closer to finalization following key regulatory developments.
Key updates:
- The Securities and Exchange Commission (SEC) approved Paramount Global's S-4 filing, a required document for mergers and acquisitions, effective as of Thursday. The filing states: "On behalf of the Board of Directors of Paramount Global, a Delaware corporation, we are pleased to enclose the information statement/prospectus relating to the proposed transaction among Paramount, Skydance Media, LLC, a California limited liability company, and certain affiliates of investors of Skydance."
- The European Union granted approval earlier this week, with the European Commission determining that the merger raises no significant competition concerns.
- The primary remaining obstacle is securing approval from the U.S. Federal Communications Commission (FCC), which must sign off on the transfer of broadcast licenses for Paramount's 28 owned-and-operated local TV stations.
FCC approval faces challenges under new chairman Brendan Carr, appointed by President Donald Trump. Carr has reopened a previously dismissed "news distortion" complaint against Paramount-owned CBS, filed by the Center for American Rights, concerning the editing of a "60 Minutes" interview with former Vice President Kamala Harris regarding a question on Gaza.
Additionally, five New York City pension funds—NYCERS, New York City Fire Department Pension Fund, New York City Police Pension Fund, New York City Board of Education Retirement System, and Teachers’ Retirement System of the City of New York—filed a class-action lawsuit this week to halt the merger. The suit claims that controlling shareholder Shari Redstone and members of Paramount’s special committee breached their fiduciary duty in evaluating bids.
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