Netflix, Inc. and Warner Bros. Discovery, Inc. (WBD) have nailed a deal that will reshape the entertainment industry. The $82.7 billion agreement brings Warner Bros’ film and television studios into Netflix’s control. The acquisition also includes HBO and HBO Max.
Per the official announcement: “The cash and stock transaction is valued at $27.75 per WBD share (subject to a collar as detailed below), with a total enterprise value of approximately $82.7 billion (equity value of $72.0 billion). The transaction is expected to close after the previously announced separation of WBD’s Global Networks division, Discovery Global, into a new publicly traded company, which is now expected to be completed in Q3 2026.
This acquisition brings together two pioneering entertainment businesses, combining Netflix’s innovation, global reach, and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling. Beloved franchises, shows, and movies such as The Big Bang Theory, The Sopranos, Game of Thrones, The Wizard of Oz, and the DC Universe will join Netflix’s extensive portfolio, including Wednesday, Money Heist, Bridgerton, Adolescence, and Extraction, creating an extraordinary entertainment offering for audiences worldwide.”
The Boards of Directors of both Netflix and WBD unanimously approved the deal.
“Our mission has always been to entertain the world,” stated Ted Sarandos, co-CEO of Netflix. “By combining Warner Bros.’ incredible library of shows and movies—from timeless classics like Casablanca and Citizen Kane to modern favorites like Harry Potter and Friends—with our culture-defining titles like Stranger Things, KPop Demon Hunters, and Squid Game, we’ll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling.”
Netflix expects to maintain Warner Bros.’ current operations and build on its strengths. The streamer’s announcement stated that maintaining WB operations includes continuing theatrical releases for films.
“This acquisition will improve our offering and accelerate our business for decades to come,” said Greg Peters, co-CEO of Netflix. “Warner Bros. has helped define entertainment for more than a century and continues to do so with phenomenal creative executives and production capabilities. With our global reach and proven business model, we can introduce a broader audience to the worlds they create—giving our members more options, attracting more fans to our best-in-class streaming service, strengthening the entire entertainment industry and creating more value for shareholders.”
Netflix believes the deal will deliver more choices to consumers since the streaming service will add WBD’s “film and TV libraries and HBO and HBO Max programming.”
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