Warner Bros. Discovery and Paramount Global Merger Advances as Zaslav Sells Shares
The proposed $111 billion merger between Warner Bros. Discovery (WBD) and Paramount Global is gaining momentum, with regulatory signals pointing towards approval in the U.S. Simultaneously, Warner Bros. Discovery CEO David Zaslav has sold over $114 million worth of company stock.
Regulatory Progress and Approvals
The U.S. Department of Justice’s waiting period expired in mid-February after Paramount submitted the necessary information . Brendan Carr, chairman of the U.S. Federal Communications Commission (FCC), indicated a swift formal approval, noting the deal is less problematic than a previous bid from Netflix . Netflix had previously withdrawn from the bidding process and reportedly received over $2 billion in compensation.
Zaslav’s Stock Sale
David Zaslav sold 4,004,149 shares of Warner Bros. Discovery stock on March 3, 2026, with a total market value of approximately $114.1 million . This sale occurred after WBD secured the deal with Paramount Skydance, and the stock was trading near its 52-week high. The shares sold were granted to Zaslav between January 2023 and February 2026 as part of his employment agreement . Netflix Chairman Reed Hastings also sold approximately $40 million worth of his own shares following Netflix’s withdrawal from the deal .
A New Streaming Giant and Financial Challenges
The merger aims to consolidate the streaming market, with plans to combine HBO Max and Paramount+ into a single service by the end of 2026. Paramount intends to revive franchises like “Mad Max,” “Police Academy,” and elements of the DC universe . Yet, the combined entity will face a substantial debt load, potentially reaching $79 billion . Fitch has downgraded Paramount Skydance’s credit rating to “junk level” (Bb+) due to this debt .
Remaining Hurdles and Future Outlook
Final completion of the merger depends on securing regulatory approvals in European legal systems. Once obtained, the integration of streaming services will commence, and management will focus on strategies to manage the significant debt . David Zaslav’s leadership was instrumental in securing the deal, overcoming previous criticism regarding his management of Warner Bros. Discovery .