On September 28, 2026, Paramount Skydance Corporation announced plans to raise approximately $44.4 billion in aggregate principal amount through the issuance of senior secured notes. The company intends to offer U.S. dollar-denominated senior secured first lien notes and U.S. dollar- and euro-denominated senior secured second lien notes to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.
The proceeds from these offerings are intended to finance the purchase price for the previously announced acquisition of Warner Bros. Discovery, Inc. (WBD), as well as to repay certain existing debt. The company stated that it will utilize the net proceeds from the notes, combined with cash on hand, borrowings under previously announced term loan financings, and the net proceeds from previously announced equity financing.
The acquisition agreement, entered into on February 27, 2026, involves the merger of WBD with and into Prince Sub Inc., a wholly owned subsidiary of Paramount Skydance, with WBD surviving as a wholly owned subsidiary. The consummation of the notes offerings is subject to market and other conditions and is not a condition to the closing of the acquisition.
The company emphasized that the terms of the proposed notes offerings, including interest rates and maturities, are subject to significant conditions and that there is no assurance that the transactions will be completed on the anticipated terms or timing.
