Paramount, One of Hollywood's Oldest Studios, to Get New Owner

In a significant move in the entertainment industry, Paramount Global and Skydance Media have agreed to merge, resulting in a change of ownership for Paramount, according to a company press release. The merger will be executed in two phases.

Phase One

In the initial phase, RedBird Capital Partners, along with the family of billionaire Larry Ellison (founder of Oracle, whose son founded Skydance), will pay $2.4 billion in cash to National Amusements, Paramount's parent company.

Phase Two

The second phase involves an additional $4.5 billion payment for both voting (Class A) and non-voting (Class B) shares of Paramount, alongside a $1.5 billion primary capital investment. This transaction will culminate in the creation of New Paramount, valued at approximately $28 billion.

Expected Completion

The merger is expected to be finalized in the first half of 2024. Post-merger, the Ellison family and RedBird will own 100% of New Paramount's Class A shares and 69% of Class B shares.

Leadership of New Paramount

David Ellison, son of Oracle's founder, will serve as Chairman and CEO, with Jeff Shell as President.

Skydance's Role

Skydance is recognized as one of Hollywood's leading independent studios, credited with recent blockbusters such as "Top Gun: Maverick," "Mission: Impossible 7," and "Transformers: Rise of the Beasts."

Paramount's Legacy

Paramount, a historic American studio, also owns CBS (including its sports and news channels), Paramount Pictures, Nickelodeon, MTV, Comedy Central, as well as various streaming services and TV channels in the UK, Australia, India, and Argentina. For the past 35 years, the company has been under the Redstone family's ownership.