Paramount Skydance’s latest $108.4 billion offer to acquire Warner Bros Discovery has been deemed insufficient by major shareholder Harris Oakmark. Owning roughly 4% of Warner Bros shares, the investor emphasized that while Paramount’s amended bid addressed some concerns, it still falls short of providing adequate incentive, leaving the two competing offers — Paramount’s and Netflix’s — as a “toss-up” for shareholders.

The revised Paramount offer includes a $40.4 billion personal guarantee from Oracle co-founder Larry Ellison and an increased breakup fee of $5.8 billion if regulators block the deal. However, the $30-per-share bid remains unchanged, prompting Warner Bros’ board to recommend shareholders reject Paramount’s earlier offer in favor of Netflix, whose bid of $23.25 per share is seen as more secure and includes additional Netflix stock and benefits from the Discovery Global spin-off.

Investors highlight the value of Warner Bros’ premium media assets, including HBO Max and major franchises like Harry Potter and Superman. While some, like Thomas Poehling, may accept Paramount’s revised offer if Netflix doesn’t counter, many others are likely to follow the board’s guidance, reflecting both the complexity of the deal and the importance of stable financing in determining the outcome.

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