Netflix Inc. has reshaped its bid for Warner Bros. Discovery, replacing the prior cash-and-stock proposal with an all-cash offer valued at $27.75 per share.
The revision streamlines the transaction, provides Warner Bros. shareholders immediate liquidity, and bolsters Netflix’s position against competing suitors.
The boards of both companies approved the revised all-cash agreement on Tuesday, January 20, 2026. On the same day, Warner Bros.
Discovery submitted its preliminary proxy statement to U.S. regulators, initiating the process for a shareholder vote expected by April 2026.
Netflix said the cash-only structure removes the variability associated with stock-based deals and facilitates faster regulatory and shareholder approval.
The acquisition will be funded using cash on hand, available credit lines, and committed financing.
The amended deal also includes a stake in Discovery Global, a new publicly traded entity created from WBD’s Global Networks division.
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The spin-off is expected within six to nine months, while the full acquisition could close 12 to 18 months after the original agreement.
The timing of the all-cash revision aligns with a hostile offer from Paramount Skydance, which launched a competing cash bid set to expire on Wednesday, January 21, 2026.
Warner Bros. Discovery’s board continues to recommend Netflix’s offer, highlighting the certainty and clarity of the deal structure.
Upon completion, the acquisition would bring Warner Bros.’ studios and streaming services, including HBO Max and HBO, under Netflix control, significantly expanding the company’s production capabilities, content library, and global reach.