Paramount/Warner Merger Receives Final Approval Before Deal Completion

It was announced this Wednesday (30) that federal judge Araceli Martínez-OIguín approved the agreement between Paramount Skydance and a group of lawyers from the American states who filed a lawsuit to block the acquisition of Warner Bros. Discovery.

With this decision, the merger of the companies is imminent. “The Court concludes that the proposed settlement represents a reasonable factual and legal resolution to the dispute,” wrote U.S. District Judge Martínez-Olguín today in granting approval. “The settlement proposed by the parties falls within the scope of the case presented in the records.”

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Martínez-Olguín did not immediately approve the agreement, but granted an additional week for the submission of opposing arguments, with September 28th as the deadline for Paramount and the attorneys general to respond.

Twelve attorneys general, led by Rob Bonta of California, had been conducting the antitrust case—with a trial scheduled for March—until the parties reached an agreement quite suddenly, over the course of a few days.

Bonta presented the agreement at a press conference with little enthusiasm, detailing the proposed corrective measures and insisting that the agreement "is not an endorsement" of the mega-merger, reiterating his opinion that two of Hollywood's biggest companies should not merge.

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Now that approval has been confirmed, the acquisition of Warner Bros. Discovery should take place in the coming weeks, with Paramount Skydance taking over the company.

It is highly likely that the formal announcement will be made during the week, with both companies issuing a statement revealing the next steps to complete the acquisition and also how the conglomerate's operations will be managed.