Netflix Acquires Warner Bros. Discovery in Historic $83 Billion Entertainment Industry Merger

Netflix To Acquire Warner Bros. Discovery For Nearly $83 Billion

Warner Bros. Discovery shares closed at $24.54 on the Nasdaq on Thursday.

Streaming powerhouse Netflix has reached an agreement to purchase film and television studio Warner Bros. Discovery in a deal valued at approximately $83 billion, according to a joint announcement released on Friday by the two American companies.

This acquisition grants Netflix access to an extensive film library and the highly regarded HBO Max streaming platform, marking the largest consolidation in the entertainment industry since Disney acquired Fox for $71 billion in 2019.

The deal values Warner Bros. Discovery at $27.75 per share, representing a total equity value of roughly $72.0 billion and an enterprise value - including debt - of approximately $82.7 billion.

Warner Bros. Discovery stock closed at $24.54 on the Nasdaq exchange on Thursday.

Throughout its history, Warner Brothers has created cinematic masterpieces including "Casablanca" and "Citizen Kane," as well as contemporary blockbuster franchises such as "The Sopranos," "Game of Thrones," and the "Harry Potter" film series.

"Together, we can deliver more of what audiences love and help shape the future of storytelling for the next century," stated Ted Sarandos, Netflix co-CEO, whose company has produced international hits like "Stranger Things," "KPop Demon Hunters," and "Squid Games."

"Today's announcement unites two of the world's greatest storytelling companies," declared David Zaslav, President and CEO of Warner Bros. Discovery, in the official statement.

The transaction, which received unanimous approval from both companies' boards of directors, is expected to finalize within 12 to 18 months.