Paramount Global, one of Hollywood’s oldest companies, will merge with Skydance Media, an independent film studio.

This merger involves Shari Redstone selling her family’s controlling stake in Paramount in a deal valued around $28 billion (£21.9 billion).

The Redstone family, led by Sumner Redstone, built a vast media empire starting from drive-in cinemas.

Paramount, known for classics like Chinatown and Breakfast at Tiffany’s, also owns TV networks like CBS and MTV, reaching over 4.3 billion subscribers globally.

Skydance’s investment of $8 billion includes acquiring National Amusements, which controls Paramount.

This deal aims to bolster Paramount amidst challenges in the entertainment industry, including competition from streaming services.

The merger is expected to finalize by next summer. Paramount, founded in 1914, has produced iconic films such as The Godfather and Star Trek but has faced financial struggles recently, with its shares dropping significantly.

Skydance, owned by David Ellison, son of Oracle’s founder, emerged as the chosen partner after months of negotiations involving other potential buyers.

The move follows leadership changes at Paramount, including the departure of CEO Bob Bakish earlier this year.

This merger reflects ongoing transformations in entertainment driven by digital streaming platforms.

Credit : BBC

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