Paramount Skydance CEO David Ellison speaks on stage during the Paramount Pictures presentation at CinemaCon on April 16, 2026 at the Colosseum at Caesars Palace in Las Vegas.
Valerie Macon | AFP | Getty Images
The United States Department of Justice paramount skydance acquisition proposal of warner bros discoveryeliminating federal antitrust concerns from the merger.
“The bureau has completed its analysis of the proposed merger of Paramount and Warner Bros. and, based on the evidence obtained in its investigation, has determined that the transaction is not likely to harm competition or U.S. consumers,” the department said in its decision.
A Paramount spokesperson said in a statement that the company “appreciates the Department of Justice’s thorough review of this transaction and the efforts of other agencies that have previously completed reviews and granted clearances.”
“This agreement is pro-competitive, resulting in stronger companies being better positioned to compete with dominant technology platforms in an industry defined by fierce competition for audiences, talent, technology and investment,” the spokesperson said. “We remain focused on closing the transaction as quickly as possible and delivering its benefits to consumers, creators and the entertainment industry as a whole.”
It’s a significant milestone for the roughly $110 billion deal, but it could still face legal challenges from state attorneys general. California Attorney General Rob Bonta is among the officials reviewing the proposal, and the agreement “remains under review by the California Department of Justice,” his office said in a statement Friday.
Paramount shares rose about 3% in after-hours trading. Politico first reported the government’s approval.
Paramount CEO David Ellison told investors during an April earnings call that the deal was expected to close by September, after which a so-called ticking fee would be incurred, increasing the transaction price. The proposed merger has already been approved by WBD shareholders.
In late February, Paramount offered $31 a share to acquire all of WBD’s assets, including cable television networks such as CNN and TBS, the Warner Bros. movie studio and streaming platform HBO Max. The proposal came after multiple offers and overturned the contract with Netflix That’s because the company will acquire WBD’s streaming and film assets.
Paramount is currently awaiting regulatory approval from European authorities. The European Union’s regulatory arm began considering the draft agreement earlier this week and set a July 14 deadline for review, according to a notice on its website.
Paramount said in a regulatory filing on Wednesday that the deal had received approval from the Australian Competition and Consumer Commission.
