David Ellison's Paramount wants its WBD merger challengers to put up nearly $1.9 billion

Aug 18, 2026 02:57 AM - 1 hour ago 1

David Ellison wants those challenging his Warner Bros. Discovery deal — including California and 11 different states — to beryllium prepared to salary astir $1.9 cardinal if they suffer their lawsuit.

Paramount Skydance's $110 cardinal WBD acquisition is connected pause aft lawsuits from 12 states and the Writers Guild of America, which argued the woody is anticompetitive. A national judge said the plaintiffs "raised superior questions" successful their suit and set a proceedings date for early March.

Ellison's institution now wants the judge to bid its ineligible opponents to station a $1.88 cardinal enslaved that Paramount would person if it yet prevails successful court.

Paramount has agreed to salary WBD shareholders a "ticking fee" of astir $7 cardinal per time that its woody isn't closed, starting October 1. By the clip the proceedings concludes, Paramount would beryllium $1.3 cardinal successful ticking fees that would beryllium "unrecoverable," the institution said connected Monday, adding that it's besides missing retired connected "significant further costs savings" by not closing the WBD woody now.

Corey Martin, an M&A lawyer who's caput of the intermezo finance believe astatine Los Angeles-based patient Granderson Des Rochers, said it was "very unlikely" that Paramount would person the judge that the plaintiffs should beryllium connected the hook for the ticking fees.

The judge tin determine whether the plaintiffs request to station a enslaved and, if so, successful what amount.

"I would beryllium amazed if they could use the proceeds of immoderate enslaved toward the ticking fee," Martin said.

Paramount has already secured support from each different applicable regulatory authority, including the US Department of Justice and the European Commission.