David Ellison's Paramount would owe more than $1 billion to WBD shareholders based on the March trial date a judge set
Paramount Skydance faces potential 'ticking fees' exceeding $1 billion to Warner Bros. Discovery shareholders due to a court-mandated trial date for their merger. The company must pay approximately $7 million per day until the deal closes or the trial concludes.
Why it matters
The financial pressure of these fees adds significant risk to the merger, potentially forcing a settlement or impacting the financial viability of the deal for the Ellisons.
Paramount Skydance CEO David Ellison's company may soon have to pay up to WBD investors. Gabe Ginsberg/Getty Images Paramount Skydance's financial backers may soon owe billions to WBD shareholders. The trial for Paramount's proposed merger with WBD will start on March 2, a federal judge ruled. Paramount agreed to pay WBD investors about $7 million per day that its deal isn't closed, starting September 30. David Ellison and his billionaire father may need to get their checkbooks ready. Paramount Skydance is expected to need to pay Warner Bros.
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