Paramount’s Search for a Buyer: Apollo’s Letters, Redstone’s Rejections
Paramount has been making headlines recently with its search for a buyer, and it seems like the journey was quite the rollercoaster ride. Apollo Global Management made several attempts to secure a deal but ultimately lost out to Skydance Media’s $8 billion offer, as revealed in an SEC filing.
The news of Skydance Media’s deal sparked some controversy among Paramount investors, who questioned controlling shareholder Shari Redstone’s motives. However, it turns out the reality of the situation is much more complex. The special committee overseeing the process put in a lot of effort to find a deal that would satisfy both Redstone and the shareholders. They reached out to over 50 potential buyers before settling on the $8 billion merger agreement, which included a 45-day go-shop period to entertain better offers.
According to Lloyd Greif, CEO of the Los Angeles-based investment banking firm Greif & Co., the 45-day period may have seemed biased in favor of Skydance Media’s bid, but there was actually a lot of interest from various parties. Overall, it was a thorough and exhaustive process that ultimately led to the successful acquisition by Skydance Media.
