Paramount seeks $1.88 billion bond from plaintiffs in antitrust case over Warner Bros. merger

Paramount Global and Skydance have filed a motion with U.S. District Judge Araceli Martinez-Olguin requesting that the plaintiffs in the antitrust lawsuits post a bond of $1,884,726,092.73 by September 30, 2026. The bond would be payable to Paramount if it prevails in the litigation that currently blocks the company’s $111 billion acquisition of Warner Bros. Discovery.

The motion argues that the court-approved order preventing the merger imposes substantial costs on Paramount, which is prepared to complete the transaction once the case is resolved. In a statement to the press, a Paramount spokesperson said the company is invoking the statutory requirement for a bond to offset “the maximum potential ticking consideration and financing costs” associated with the delay.

The antitrust suits were filed in July by 12 states, led by California Attorney General Rob Bonta, and by the Writers Guild of America, alleging that the merger would reduce competition in theatrical film, blockbuster releases and basic cable television markets. The states contend that structural remedies are needed, while the guild argues the deal would limit the number of buyers for writers’ work.

Paramount has indicated that, without the merger, it would incur a daily “ticking fee” of roughly $7 million to Warner Bros. Discovery shareholders, amounting to about $1.3 billion by the projected trial conclusion in March 2027, plus $190 million in additional financing costs.

"We prefer to resolve disputes in the boardroom, not the courtroom, if possible," Bonta said on a recent interview, adding that the states are seeking structural changes rather than settlement offers they consider insufficient.

"We remain confident that plaintiffs’ case is without merit and will defend our pro-competitive transaction in court," a Paramount spokesperson said, expressing optimism about closing the merger and delivering benefits to consumers and industry workers.