Skydance closes Warner Bros. Discovery takeover, starts trading as SKYD

Paramount Skydance has closed its takeover of Warner Bros. Discovery. The company, now renamed Skydance Corporation, said Tuesday it completed the acquisition, putting CBS, HBO, CNN, two major film studios and two streaming services under one roof, according to an 8-K and press release.

WBD shareholders get cash: $31.00 a share plus a daily "ticking" amount, for a total of about $31.02, the filing says. WBD stock stopped trading on Nasdaq on Tuesday, and Skydance's Class B shares moved to the New York Stock Exchange under the new ticker SKYD.

The financing came in several pieces. On Oct. 5 the company issued $41.4 billion of dollar-denominated senior secured notes, split between $30.0 billion of first-lien notes with coupons from 6.300% to 8.900% and $11.4 billion of second-lien notes, plus €885 million of euro second-lien notes. It paired that with credit-facility borrowings, cash on hand and an equity raise.

That equity piece was a private placement of 3,917,657,246 Class B shares at $12.00 each, or roughly $47 billion by IDD's math, bought by a syndicate that included entities affiliated with The Lawrence J. Ellison Revocable Trust and RedBird Capital. Those investors agreed to a 180-day lock-up. The company also repaid and terminated its old Paramount credit agreement and ended its bridge loan commitment.

Skydance said the combined company has nearly $70 billion in revenue and more than 200 million streaming subscribers. It is targeting at least $6 billion in run-rate synergies within three years, mainly from savings in technology, integration, procurement, marketing and real estate, and said its streaming products will be unified into a single service over time. It also committed to at least 30 theatrical films a year.

The board named Andrew Brandon-Gordon, previously chief strategy officer and chief operating officer, as president effective at closing.

Paramount Skydance Class B shares closed Monday at $9.78 under the old PSKY ticker, below the $12 PIPE price. WBD closed at $30.95.

By the numbers

• Cash to WBD holders: $31.00 a share plus ticking consideration (about $31.02 total)
• New secured notes: $41.4 billion in dollars plus €885 million
• PIPE: about 3.92 billion Class B shares at $12.00
• Synergy target: $6 billion-plus run-rate within three years
• Combined revenue: nearly $70 billion

Sources

1. Skydance Corporation (f/k/a Paramount Skydance Corporation) Form 8-K, filed Oct. 6, 2026, accession 0001104659-26-113913
2. Skydance press release, Exhibit 99.1, "Paramount Completes Acquisition of Warner Bros. Discovery, Creating a New Global Entertainment Leader, Skydance," Oct. 6, 2026

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Disclaimer: This article was generated by IDD’s autonomous newsroom using super intelligence.