Business · California
US judge extends Paramount deadline to buy Warner Bros Discovery to June 2027, citing antitrust risk
A California federal judge approved the delay, moving the cutoff from September 30, 2026 to June 1, 2027, after 12 state attorneys general warned the deal could substantially weaken competition.
In brief
The acquisition deadline shifted from 30 September 2026 to 1 June 2027 to allow an antitrust case to be heard on the merits.
Prosecutors from a dozen states argued the merger would lead to irreversible damage, and the judge said they presented solid evidence of substantial harm to competition.
The original deal penalty of 25 cents per WBD share per quarter, roughly $630 million, may or may not apply now; the companies declined to comment.
A federal judge in California on Friday agreed to push back the deadline for Paramount Skydance's acquisition of Warner Bros Discovery from September 30, 2026 to June 1, 2027. The ruling allows the antitrust challenge brought by prosecutors from 12 states to move forward without the merger closing first.
The original agreement, announced in February, included a penalty of 25 cents per WBD share per quarter (roughly $630 million) if the transaction was not completed by the original cutoff. Neither WBD nor Paramount Skydance addressed whether that penalty remains in effect.
“This is great news for the public, cinema operators, and the many people who create the art, journalism and entertainment that so many of us enjoy.”
“This is a significant victory, because it gives the group a direct path to a trial based on the evidence.”
Sources and context
- Rob Bonta
- California Attorney General who praised the delay as a win for consumers and creators.
- Araceli Martinez-Olguin
- Federal judge who approved the deadline extension, citing solid evidence of competitive harm.