Corporate Governance and Legal Strategy at Paramount Skydance: Delrahim's Role in Strengthening Regulatory Resilience and Investor Confidence

The recent appointment of Makan Delrahim as Chief Legal Officer of Paramount Skydance Corporation marks a pivotal moment in the company's post-merger evolution. Effective October 6, 2025, Delrahim assumes responsibility for overseeing legal, regulatory, compliance, and public policy matters, a role that aligns with the company's need to navigate a complex regulatory landscape and rebuild investor trust following the contentious $8 billion merger with Skydance MediaPARAMOUNT APPOINTS MAKAN DELRAHIM AS CHIEF LEGAL^[1]. His extensive background in antitrust law, corporate governance, and high-stakes mergers positions him to address the challenges that have defined Paramount's recent trajectory.

Delrahim's Expertise and Regulatory Resilience

Delrahim's career is distinguished by his tenure as Assistant Attorney General for the U.S. Department of Justice's Antitrust Division (2017–2021), where he oversaw hundreds of mergers and acquisitions and spearheaded the DOJ's opposition to the AT&T-Time Warner dealParamount Hires Former Trump DOJ Antitrust Head As Chief^[2]. His experience in shaping antitrust policy, including modernizing the division's focus on media and digital platforms, provides a strategic edge for Paramount Skydance as it contends with regulatory scrutiny. For instance, the merger's approval by the Federal Communications Commission (FCC) required concessions, such as eliminating diversity, equity, and inclusion (DEI) programs and ensuring editorial neutrality in news coverageFCC approves Paramount Skydance merger after concessions^[3]. Delrahim's familiarity with such regulatory demands could streamline future compliance efforts and mitigate risks of legal pushback.

Moreover, Delrahim's role in the 2025 amendments to Delaware's General Corporation Law—expanding exculpation protections for controlling stockholders and clarifying corporate governance standards—demonstrates his influence on legal frameworks that directly impact Paramount's operationsDelaware Enacts Important Corporate Law Reforms^[4]. These reforms, which reduce litigation risks for corporate leaders, align with Paramount's need to stabilize its governance structure post-merger. By leveraging his expertise, Delrahim can help the company avoid the pitfalls of legacy litigation, including ongoing lawsuits related to Shari Redstone's leadership and alleged governance lapsesInvestor Alert – Paramount / Skydance Legacy Redstone Risk Litigation & Governance^[5].

Investor Confidence and Market Dynamics

Investor sentiment toward Paramount Skydance has been mixed since the merger's completion in August 2025. While the stock initially closed at $11.04 on August 7, reflecting cautious optimismParamount Global (PARA) Financial Ratios^[6], recent data shows a 55.3% surge in share price over the past three months, outpacing the S&P 500's 8.2% gainIs Paramount Skydance Stock Outperforming the S&P 500?^[7]. This performance suggests growing confidence in the company's strategic direction, potentially bolstered by Delrahim's appointment. His track record in advising Skydance during the merger—where he navigated regulatory hurdles and shareholder disputes—signals a capacity to manage complex transitionsPARAMOUNT APPOINTS MAKAN DELRAHIM AS CHIEF LEGAL^[8].

However, challenges persist. Paramount's financials remain under pressure, with a net loss of $14 million in the 12 months prior to the merger and a forward price-to-earnings ratio of 8.38, indicating a risk-averse investor outlookParamount Global (PARA) Financial Ratios^[6]. Delrahim's ability to strengthen corporate governance—such as through transparent decision-making and robust compliance protocols—could address these concerns. For example, the appointment of three new independent directors to Paramount's board in October 2025Paramount Appoints New Board Members Amid Trump Lawsuit^[9] reflects a broader effort to align with best practices, a move that Delrahim's legal acumen can further reinforce.

Strategic Implications for Paramount Skydance

Delrahim's appointment is not merely a defensive measure but a strategic investment in Paramount's long-term resilience. His experience in crisis management—both at Latham & Watkins and within the DOJ—enables him to address potential regulatory or legal disruptions proactively. For instance, the FCC's renewed scrutiny of Paramount-owned CBS and the class-action lawsuit alleging fiduciary breaches during the mergerFCC approves Paramount Skydance merger after concessions^[3] underscore the need for a legal leader who can balance compliance with corporate agility.

Furthermore, Delrahim's advocacy for structural remedies over behavioral antitrust approachesExclusive | Makan Delrahim angling for new role in Trump admin^[10] may influence Paramount's M&A strategy, particularly as it explores opportunities like a potential bid for Warner Bros Discovery. His ability to navigate cross-border regulatory environments—evidenced by his work on multilateral antitrust agreements—could facilitate smoother international expansions.

Conclusion

Makan Delrahim's appointment as Chief Legal Officer represents a calculated step toward fortifying Paramount Skydance's corporate governance and regulatory resilience. By drawing on his antitrust expertise, crisis management experience, and influence on legal reforms, the company is better positioned to address lingering governance concerns and capitalize on growth opportunities. While investor confidence remains fragile, Delrahim's leadership offers a pathway to stabilize operations and restore trust—a critical imperative in an industry where regulatory and legal risks are inextricably linked to market success.