Skydance improves offer for Paramount Global

The Financial Times reported that a special committee of Paramount directors has recommended a sweetened acquisition offer from Skydance Media.

This leaves the final decision over whether to sell the US studios in the hands of controlling shareholder Shari Redstone.

Skydance, the production group founded by billionaire David Ellison, has been negotiating for Paramount over the past several months.

Skydance is backed by US private equity groups RedBird and KKR. It has previously partnered with Paramount on several major film releases, including Top Gun: Maverick, Mission: Impossible Dead Reckoning Part One and Star Trek Into Darkness.

Paramount’s board, which Redstone chairs, will vote on the Skydance deal at the company’s June 4 annual meeting.

CNBC reported a deal could be announced in the coming days.

Last month, Sony Pictures and private equity firm Apollo Global Management also teamed up to table a $26bn offer for Paramount Global.

Bob Bakish stepped down as Paramount’s chief executive last month after reportedly opposing the company’s proposed merger with Skydance.

Paramount Global is the parent company of movie studio Paramount Pictures, broadcasting network CBS, as well as brands including Showtime, MTV, Comedy Central and Smithsonian, and streamer Paramount+.

Redstone’s family owns 77% of the controlling shares of Paramount Global through their holding company National Amusements.