Discovery Closes $43 Billion Merger With WarnerMedia to Form Warner Bros. Discovery
thewrap.comaccording to CNN.Discovery stakeholders had approved the deal in mid-March.The merger will place AT&T’s Warner Bros., CNN, Turner and Discovery’s stable of nonfiction networks squarely under one roof — as well as two currently competing streaming services, Discovery+ and HBO Max, possibly giving the combined entity a fighting chance of moving into competition with Netflix and Disney+ among the leading streaming services.The deal also combines WarnerMedia’s U.S.
sports rights like the NBA, MLB and March Madness with Discovery international sports giant Eurosport. The closure announcement comes after a long week of executive exits at WarnerMedia that included WarnerMedia CEO Jason Kilar, studios and networks group CEO and chair Ann Sarnoff and HBO max chief Andy Forssell.
Warner Bros. Discovery will be headed by longtime Discovery CEO David Zaslav, a leadership role that was revealed in May when the merger was announced.According to the original merger announcement, under the terms of the agreement, AT&T receives $43 billion in a combination of cash, debt securities and WarnerMedia’s retention of certain debt.
AT&T shareholders will receive stock representing 71% of the new company. Discovery shareholders will own 29% of the new company.
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