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Justice Department approves Paramount Skydance’s acquisition of Warner Bros. Discovery in $110B mega-merger
The largest media deal in recent memory combines HBO, Warner Bros., and Paramount under one roof, with Larry Ellison's backing exceeding $45 billion in guarantees.
The US Department of Justice has cleared the way for Paramount Skydance to acquire Warner Bros. Discovery in a deal valued at approximately $110 billion, creating what would be the most significant media consolidation in a generation.
The approval follows a two-hour meeting between Paramount Skydance representatives and DOJ staff on May 26, capping months of antitrust review over whether combining two of Hollywood’s biggest studios would harm competition. Paramount Skydance reportedly expects to close the deal within 48 hours of the formal green light, though potential challenges from state attorneys general could still slow things down.
What the deal looks like
The merger carries an equity value of roughly $81 billion, with the total enterprise value hitting approximately $110 billion when debt is factored in.
Oracle co-founder Larry Ellison is guaranteeing more than $45 billion of the transaction, backed by bank debt commitments exceeding $54 billion.
The combined entity would bring together Warner Bros.’ theatrical operations, HBO Max, and Paramount’s film and television assets.
Warner Bros. Discovery shareholders voted overwhelmingly in favor of the merger on April 23, 2026, removing one of the final private-sector hurdles before the regulatory finish line.
The consolidation trend keeps accelerating
The DOJ’s antitrust review was guided by Acting Assistant Attorney General Omeed Assefi, who underscored a commitment to a fair examination without political interference. State attorneys general could still file suit to block or delay the closing, which remains a live risk against Paramount Skydance’s 48-hour closing window.
What this means for investors
The financing structure is worth noting for what it reveals about where big money still flows. The entire $110 billion transaction is being funded through conventional mechanisms: bank debt, equity financing, and personal guarantees from ultra-high-net-worth individuals. There is no cryptocurrency component, no tokenized equity, no blockchain-based settlement.