Ellison Offers $40.4 Billion Personal Guarantee to Strengthen Paramount's Bid for Warner Bros. Discovery

, the fifth-richest person globally, . Discovery. The move, announced in a revised bid on December 22, 2025, aims to address concerns raised by Warner Bros. Discovery’s board regarding the reliability of the Ellison family’s financial backing.

The guarantee is tied to the $30-per-share offer, which remains unchanged despite the new assurances. The total value of the deal is $108.4 billion, with Paramount seeking to acquire the entire Warner Bros. Discovery entity, including its cable networks such as CNN, TNT, and Food Network. This contrasts with Netflix’s competing offer, which is limited to the movie studios, HBO, .

Warner Bros. Discovery has repeatedly rejected Paramount’s bid, calling it “inadequate” and “illusory.” The board accused Paramount of misleading investors by relying on a revocable family trust, which the company argued lacks the certainty of a personal guarantee. In response, Paramount clarified that Larry Ellison holds the majority of assets within the trust, and that its long-standing structure has been a stable counterpart in numerous transactions. , with all material liabilities disclosed publicly.

, matching the amount Netflix has committed for its own transaction. The revised terms extend the shareholder tender period until January 21, giving investors more time to consider their options.

The deal’s outcome could significantly impact the streaming industry, as the winner would gain access to a vast content library and a broader platform for content creation and distribution. Analysts have noted that Paramount’s all-cash offer and expanded scope give it a strategic edge over Netflix’s narrower acquisition, though regulatory and shareholder dynamics remain key uncertainties.

Larry Ellison’s personal involvement underscores the high stakes of the acquisition battle, which has drawn intense scrutiny from shareholders and media observers. By providing a direct, irrevocable guarantee, he is reinforcing the financial credibility of the bid and signaling a strong commitment to its success. This development appears to have influenced market sentiment, with Paramount shares rising sharply following the announcement.

Despite the added financial assurances, Paramount has not increased the per-share price, maintaining that its offer remains the most attractive for WBD shareholders. The company has also emphasized its long-term vision for growth, citing the potential for expanded content production and theatrical output under its stewardship.

With the outcome still in flux, the revised bid represents a significant escalation in the competition for Warner Bros. Discovery. The final decision by shareholders and regulators will determine which of the two major players—Paramount or Netflix—gains control of one of the most valuable media assets in the entertainment industry.