Netflix (NFLX) is expected to change to an all-cash bid for Warner Bros. Discovery (WBD) in order to make the shareholder vote on the deal much sooner.
A Warner Bros. (WBD) shareholder vote on a Netflix deal could come as soon as late February or early March, CNBC’s David Faber said on Wednesday. If the Netflix bid remained a combination of stock and cash it may not happen until early June.
“This makes it cleaner and quicker,” Faber said. “How much quicker? A lot. We are talking months. You could see a shareholder vote as soon as late February, early March if in fact Netflix does this.”
Bloomberg first reported on Tuesday that Neflix (NFLX) is evaluating changing its $27.75 a share cash-and-stock bid to all-cash. Paramount Skydance (PSKY) has repeatedly argued that its $30 all-cash bid for Warner Bros. is superior to Netflix’s cash-and-stock deal. Paramount on Monday filed a lawsuit against Warner Bros. and said it plans to nominate directors to the entertainment giant’s board.
Shares of Warner Bros. rose 1% on Wednesday.