Skydance Media and Paramount Global have signed an agreement to form “New Paramount” by way of a two-step transaction that includes the acquisition of National Amusements—which holds the controlling share stake in Paramount—and subsequently a merger of Skydance and Paramount. Skydance Investor Group, which is comprised of the Ellison Family and RedBird Capital Partners, will invest more than $8 billion in New Paramount and to acquire National Amusements.
Under the terms of the deal, Skydance will merge with Paramount in a transaction valuing New Paramount at an enterprise value of approximately $28 billion and Skydance at $4.75 billion.
Skydance Investor Group will invest $2.4 billion to acquire National Amusements and invest $4.5 billion for the cash/stock consideration, as well as $1.5 billion of primary capital to be added to New Paramount’s balance sheet.
New Paramount will combine the Skydance Investor Group’s financial resources, deep operating experience and expertise in cutting-edge technology with Paramount’s intellectual property, deep film and television library, and linear and streaming platforms.
The S&C corporate team advising RedBird Capital includes Alison Ressler, Eric Krautheimer, Ari Blaut, Isaac Wheeler, Juan Rodriguez, Mitchell Friedman and Renata Hesse.