California AG cancels meeting with Paramount over Warner Bros. Discovery merger talks
California Attorney General Rob Bonta halted a scheduled discussion with Paramount Skydance, citing alleged misrepresentations by the studio in settlement negotiations over the proposed Paramount-Warner Bros. Discovery merger.
California Attorney General Rob Bonta announced that a planned meeting with David Ellison’s Paramount Skydance was cancelled at the last minute. The meeting was intended to begin settlement negotiations in the state’s antitrust lawsuit seeking to block Paramount’s proposed acquisition of Warner Bros. Discovery.
Bonta said Paramount had leaked details of the settlement discussions and misrepresented them, indicating a lack of good-faith negotiation. He added that his office would be willing to reconvene if Paramount engages sincerely.
The lawsuit, filed by a coalition of about a dozen state attorneys general led by Bonta, argues that the merger could force the divestiture of Warner Bros. assets and generate more than $1 billion in “ticking-clock” fees before a March trial. Governor Gavin Newsom expressed support for settlement talks in the case.
Ellison has responded with a public relations campaign and has threatened to relocate the deal out of California while also seeking a court order to shift the ticking-clock fees to taxpayers.