Paramount Skydance is expected to leave California amid its battle with the California Attorney General over its planned $110 billion purchase of Warner Bros. Discovery, according to a TMZ report. Internal talks in the Los Angeles mayor's office and the California Attorney General indicate the mayor and the AG's office were told the announcement would come on Tuesday, but it did not happen. Last month Paramount CEO David Ellison threatened to relocate the movie studio out of California if he could not reach a settlement with California's AG Rob Bonta, saying the studio would move to Tennessee, Texas, Georgia, or another identified state if no deal is reached by Oct. 1. Late Tuesday a court filing indicated that Paramount Skydance and Bonta agreed to meet Oct. 14 to try to work on a potential settlement, with Bonta seeking concessions that include selling parts of the merged companies, while Paramount has so far offered only behavioral concessions such as a commitment to release at least 30 films. Paramount Skydance declined to comment to TMZ, and shares of Warner Bros. edged lower by 0.2% while Paramount rose 1.3%.
Paramount Skydance Corporation Class B Common StockParamount threatens to leave California amid regulatory fight with the state AG over its $110B Warner Bros. Discovery acquisition, with settlement talks set for Oct. 14.
Warner Bros Discovery IncWarner Bros. Discovery is the target of Paramount's $110B acquisition, which faces California AG regulatory scrutiny and potential concessions including divestitures.
