Netflix has agreed to buy Warner Bros Discovery TV, film studios and streaming division for $72bn, a deal that would hand control of one of Hollywood’s most prized and oldest assets to the streaming pioneer.The agreement, announced on Friday, follows a weeks-long bidding war between Netflix and Paramount-Skydance. The streaming giant offered $28 per share, while Paramount offered $30 per share, according to CNBC, which cited sources familiar with the matter.Recommended Stories list of 4 itemsend of listUnder the Netflix deal, each Warner Bros Discovery shareholder will receive $23.25 in cash and about $4.50 in Netflix stock per share, valuing Warner at $27.75 a share, or about $72bn in equity and $82.7bn with debt.Netflix has offered Warner Bros Discovery a $5.8bn breakup fee, while Warner Bros Discovery would pay Netflix $2.8bn if the deal collapses.Netflix said it expects to generate at least $2bn to $3bn in annual cost savings by the third year, after the deal closes. Warner CEO David Zazlav will also step down following the completion of the merger.The deal would give Netflix ownership of iconic franchises such as “Game of Thrones”, “DC Comics” and “Harry Potter”. It is also expected to raise antitrust concerns in Europe and the United States that the purchase would greatly increase the buying power of Netflix, which is already a dominant force in Hollywood.Netflix has said that the deal would create more jobs and opportunities for talent. Representatives for the company were unable to provide detai …
