Variety Again Claims Paramount WBD Bid Backed by Saudi, Middle Eastern Funding After Previous Denial

A new report in Variety claims that Paramount Skydance’s offer to buy Warner Bros. Discovery is being financially supported by investment funds from the Middle East, specifically from Saudi Arabia, Qatar, and Abu Dhabi. This news is particularly noteworthy because Paramount previously denied a similar report just last month, and the competition to acquire Warner Bros. Discovery is intensifying.

Last Month: Paramount Called This Reporting “Categorically Inaccurate”

When the same claims popped up in November, Paramount didn’t mince words.

A representative confirmed that the report in Variety is completely false. They stated that because the matter is confidential, they won’t be making any further comments until it’s resolved.

Basically, Paramount strongly denied the report in Variety, dismissed the issue, and refused to discuss it further. It was a direct and decisive response.

Which raises the obvious question…

What Changed Between Then and Now?

According to a new report from Variety, sources have confirmed that three investment funds based in the Middle East are involved in some way.

Saudi Arabia’s Public Investment Fund (PIF)
Qatar Investment Authority (QIA)
Abu Dhabi Investment Authority (ADIA)

So, from what I’m reading, their level of investment apparently doesn’t quite hit the mark where it would automatically trigger a review by CFIUS – that’s the committee that looks at foreign investments for national security concerns. It’s a little too neat, honestly, because whenever a foreign entity puts money into a big American media company, it usually sets off a whole lot of government investigation. It feels like they’re just barely dodging that scrutiny, and it makes me wonder if there’s more to the story.

So what’s going on?

There are only three realistic explanations:

Paramount’s Financing Truly Evolved Since November.

More investors may have contributed to the December offer, making the all-cash bid for Warner Bros. Discovery stronger and covering the entire company, not just its streaming and studio businesses.

Variety’s Initial Report Was Correct, and Paramount Wanted Silence

During mergers and acquisitions, companies often publicly deny deals, particularly while they’re secretly negotiating. A strong denial can quickly end speculation or further discussion.

Variety is Overstating the Connection

I have to say, this claim feels a little shaky. The source just says something is “backed by” another entity, but doesn’t give us any details about how backed. Are we talking a small investment, a significant ownership share, or even control over decision-making? “Backed by” is such a vague term – it could mean virtually anything, and that makes it hard to take this at face value.

Marvel’s upcoming TV series “Agatha All Along” is all about queer witches, apparently:
Q: “Agatha is the gayest project Marvel has ever done. Agree?”
I agree. Witches are naturally different – it’s simply because we’re often excluded and set apart from others.
Disney is so lost.
— Charlie Kirk (@charliekirk11) September 17, 2024

And let’s be honest: Variety loves a dramatic headline almost as much as Hollywood loves a bailout.

Netflix and Comcast Still Want Only the WB Studios + HBO Max

The report indicates that Netflix made an offer primarily consisting of cash, and Comcast followed up with a revised bid.

Both only want the Warner Bros. studios + HBO Max, though — not the linear TV networks

Paramount is interested in acquiring all of Warner Bros. Discovery, and is likely seeking investment from larger, international sources to help make that happen.

This Puts the WBD Board in a Strange Position

Warner Bros. Discovery is about to decide what to do next. They could enter exclusive talks with one potential buyer, ask for new offers, or stick with their original plan to separate into two companies by 2026.

Okay, so Variety is reporting that there’s now money coming from the Gulf region tied to the potential deal for Paramount, and honestly, that makes everything a lot more complicated. It just adds another layer to what was already a pretty tricky situation, and it’s making me, as a fan, a little uneasy about where things are headed.

How much involvement comes from the Middle East will determine if this helps or hurts Paramount’s prospects.

The Bottom Line

Variety is reporting again that Byron Ellison’s offer to buy Warner Bros. Discovery is supported by funding from the Saudi Public Investment Fund and other investors in the Arab world. However, Paramount has already stated this claim is false, and Variety now says these same funds are involved in a new offer.

The sale of Warner Bros. has quickly become one of the most captivating and sensational stories in the media industry recently. And as more information – and conflicting reports – emerge, the whole situation feels increasingly like a classic Hollywood drama.

We’ll likely know what Warner Bros. Discovery’s board plans to do by the end of the year. And with everything happening, the potential deal between Paramount and Saudi Arabia might not be as shocking as it first seemed.

2025-12-03 15:59