Sony Pictures has has kicked off conversations with Paramount, and a private equity firm Apollo Global Management, for a $39 billion takeover.
👉 Background: Paramount Global is the media and entertainment conglomerate that operates in over 180 countries and owns Nickelodeon, MTV, and Paramount Pictures (they're behind Titanic, Transformers, and Mission Impossible). Oh, and they also own Network Ten here in Australia.
👉 What happened: Paramount’s been shopping around for new owner recently as it struggles to keep up with the other streaming giants. Recently, Paramount Global was in exclusive negotiations with Skydance, but that 30-day negotiation window expired without a deal being closed.
👉 What else: Now, Sony Pictures has stepped into the arena has kicked off conversations with Paramount, and a private equity firm Apollo Global Management, for a $39 billion takeover.
💡An exclusive negotiation period is when a buyer is guaranteed a period of time, where the seller can’t engage with other buyers.
💡This period usually lasts between 30-60 days but can go up to 120 or more in extreme cases. The idea is to give the two parties time and space to negotiate the complexities of their deal.
💡Now that Skydance has failed to close the deal within the exclusive period, it has allowed Sony to swoop in with an offer.
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