Shareholders Greenlight Paramount-Skydance Merger

Warner Bros Discovery (WBD) shareholders approved the company’s $110 billion merger with Paramount Skydance on Thursday , moving the deal closer to completion and accelerating consolidation among major entertainment groups. The vote was described as overwhelming, and it keeps the transaction on track as the companies seek to combine operations under a single corporate structure.

The merger still depends on regulatory clearance, including reviews by the Department of Justice and European agencies. The process also faces the risk of litigation, with potential legal challenges cited as an ongoing hurdle even after the shareholder decision. Until those steps are resolved, the companies cannot finalize the transaction.

While shareholders supported the merger itself, they rejected proposed compensation packages for WBD executives. The items voted down included a $550 million payout for outgoing CEO David Zaslav. The split outcome underscores that investors can endorse a strategic transaction while opposing executive pay proposals tied to leadership changes.

Both WBD and Paramount boards had already endorsed the merger before the shareholder meeting. The companies anticipate closing between July and September, provided the remaining approvals are secured and any legal actions do not delay or block the deal. Under the terms described, WBD shareholders are expected to receive $31 per share as part of the transaction.

Criticism has emerged from advocacy groups and some state attorneys general, who have raised concerns about potential job losses, higher consumer prices, and reduced media diversity if the merger proceeds. Those objections add political and public-policy pressure to the regulatory review, particularly as authorities assess competitive effects and broader impacts on consumers and the media landscape.

A lawsuit seeking to stop the merger remains a strong possibility, with the California attorney general identified as a potential lead. That prospect signals continued scrutiny even after the shareholder vote, and it introduces uncertainty around timing and final outcomes as the deal moves through regulatory and legal channels.