20 votes

Warner Bros. Discovery in talks to merge with Paramount Global

9 comments

  1. [6]
    moocow1452
    Link
    Are either one of these companies liquid enough for a merger or is there going to be a katamari ball of debt by the time that they would be finished with a deal?

    Are either one of these companies liquid enough for a merger or is there going to be a katamari ball of debt by the time that they would be finished with a deal?

    22 votes
    1. [2]
      rosco
      Link Parent
      I believe "katamari ball of debt" should be the official term for situations like this going forward.

      I believe "katamari ball of debt" should be the official term for situations like this going forward.

      30 votes
      1. lou
        (edited )
        Link Parent
        It's time for Katamari to enter common vocabulary. "Snowballing" did a great job for the team, it's time to give space for the rookies.

        It's time for Katamari to enter common vocabulary. "Snowballing" did a great job for the team, it's time to give space for the rookies.

        15 votes
    2. cloud_loud
      Link Parent
      Debt. I don't believe the current FTC admin would approve this, even if the Disney-Fox deal was approved so long ago despite both those studios being bigger. Obviously, Paramount is going to sell....

      Debt. I don't believe the current FTC admin would approve this, even if the Disney-Fox deal was approved so long ago despite both those studios being bigger.

      Obviously, Paramount is going to sell. They want to sell, desperately. I think they're leaking deals (this and the Skydance deal) to increase their stock price to get it where they want it before they sell. I'd rather Skydance buy Paramount, but I wouldn't mind if a separate tech entity like Microsoft buys it. Though it doesn't even seem like they're interested.

      8 votes
    3. [2]
      Goodtoknow
      Link Parent
      As of the end of Q3 2023, Warner Bros Discovery and Paramount Global have significant debts. WBD's debt load stood at $43.5 billion, while Paramount Global reported long-term debt of $15.6...

      As of the end of Q3 2023, Warner Bros Discovery and Paramount Global have significant debts.
      WBD's debt load stood at $43.5 billion, while Paramount Global reported long-term debt of $15.6 billion.
      In terms of liquidity, WBD's current ratio as of Sep 2023, was 0.88, which indicates that it has less than one dollar of current assets for every dollar of current liabilities. This suggests that WBD may struggle to meet its short-term obligations.
      Paramount Global, on the other hand, had a current ratio of 1.23, indicating a better short-term financial health as it has more than one dollar of current assets for every dollar of current liabilities.
      https://www.macrotrends.net/stocks/charts/WBD/warner-bros-discovery/current-ratio
      https://www.wsj.com/market-data/quotes/PARA/financials

      8 votes
      1. Goodtoknow
        Link Parent
        Anyways this shit should be blocked as it's furthers anti-competition in the media/streaming space.

        Anyways this shit should be blocked as it's furthers anti-competition in the media/streaming space.

        13 votes
  2. CannibalisticApple
    Link
    Given how WBD has handled all the media on the WB side since the merger... I really hope this doesn't go through. WBD already has a massive amount of debt, so they'd likely cut a lot of...

    Given how WBD has handled all the media on the WB side since the merger... I really hope this doesn't go through. WBD already has a massive amount of debt, so they'd likely cut a lot of Paramount's content. The merger might be good for a business or financial perspective (don't know enough to say for sure), but I feel like it's guaranteed to be bad from a creative angle if WBD is in charge.

    8 votes
  3. ignorabimus
    Link
    When it's not going well always remember this simple fix: consolidate, consolidate, consolidate.

    When it's not going well always remember this simple fix: consolidate, consolidate, consolidate.

    3 votes
  4. arqalite
    Link
    Is the economy all like this now? Everyone trying to sell, merge, or otherwise GTFO with a sack of cash?

    Is the economy all like this now? Everyone trying to sell, merge, or otherwise GTFO with a sack of cash?

    3 votes