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Paramount Global (NASDAQ:FOR) (PARAA), Paramount’s parent company, National Amusements, has reportedly reached an agreement on preliminary terms to merge Paramount with Skydance Media, a deal that had fallen apart last month.
Skydance, led by David Ellison, would buy NAI (Shari Redstone’s family business) and merge with Paramount, the media giant that controls NAI, The Wall Street Journal reported.
Paramount shares rose again after the close: (PARA) +4.2%(FOR) +1.2%. The stocks had increased by 5.7% and 7.8% respectively during the regular session after reports Monday that media mogul Barry Diller was showing interest.
Terms of the new deal with Skydance were not available, but the media company’s previous agreement was criticized by several Paramount shareholders for favoring Shari Redstone’s voting shares over the broader class of shareholders.
National Amusements expects to refer the new deal to a special committee of Paramount’s board for review, the report said, and Redstone will not require the deal to be subject to approval by a majority of Paramount shareholders other than Redstone.