After receiving regulatory permission for the $8.4 billion agreement, Paramount Global stated on Friday that it anticipates finishing its merger with Skydance Media by August 7.
The business will be called Paramount Skydance Corp., and its Class B shares will be traded under the ticker PSKY after the deal closes.
David Ellison, the CEO of Skydance, is ready to take over as head of Paramount Skydance, which houses the prestigious Paramount Pictures, the CBS broadcast network, and several cable television networks.
Investor inquiries over the future of the Paramount+ streaming service, plans for Paramount’s deteriorating television assets, and projections for content spending, including professional sports, have already been directed at the incoming CEO.
According to MoffettNathanson media analyst Robert Fishman ,
“Skydance leadership is poised to take control now that the long, drawn-out sale process is finally nearing its end.”
“With that, the real work begins—rebuilding Paramount, addressing the critical strategic questions ahead, and charting a path toward a more sustainable and competitive future.”
The merger, which was announced over a year ago, will combine Paramount’s cherished collection of movies and television shows, which includes beloved classics like “Ferris Bueller’s Day Off” and “Breakfast at Tiffany’s,” with movies it co-produced with Skydance, such as “Top Gun: Maverick” and “Mission: Impossible – Dead Reckoning.”
Ellison did not respond to requests for comment. He has previously stated that he intends to restructure the company to put cash flow first, rebuild the Paramount+ platform and grow the streaming business, and increase Paramount’s technological skills.
He claimed that the team had found $2 billion in cost savings a year prior.
Just weeks after Paramount resolved a lawsuit brought by U.S. President Donald Trump against CBS for editing a “60 Minutes” interview with his Democratic opponent, former Vice President Kamala Harris, the transaction was approved by the Federal Communications Commission on Thursday.
The Democratic dissenter in the FCC’s 2-1 vote criticized the $16-million settlement as a “cowardly capitulation” to the Trump administration, claiming that Paramount had essentially purchased regulatory permission.
The government has stated time and time again that the evaluation was conducted independently of the case.
The agreement ends media tycoon Shari Redstone’s ownership of National Amusements, the parent company of Paramount.
Redstone gives up control of a media empire her family has established over decades, despite her long-standing reluctance to give up the studio her late father, Sumner Redstone, purchased in 1994.
Skydance consented to designate an ombudsman to handle grievances regarding editorial bias or other issues at CBS as part of the FCC negotiations.
Additionally, the business promised to stop its diversity, equity, and inclusion programs, which Trump alleged were discriminatory.
Tanya Simon was named CBS News’ chief producer for “60 Minutes” on Thursday.
Owens had resigned due to Trump’s lawsuit, citing a lack of editorial independence.
Paramount has undergone several changes since the acquisition was announced, including management changes, significant cost reductions, and internal reorganization.
In June, CFO Naveen Chopra left the company to accept a comparable position at Roblox, a video game company.
