Shari Redstone’s National Amusements has reached a preliminary deal to sell its controlling interest in Paramount Global to David Ellison’s Skydance Media for $1.75 billion, sources told Reuters on Tuesday. This news boosted Paramount shares by 9% in after-hours trading.
The tentative agreement includes a 45-day “go-shop” period, allowing other bidders, such as Steven Paul, Edgar Bronfman Jr., and Barry Diller, to submit offers. National Amusements referred the deal to a special committee of Paramount’s board for review.
The sale is part of a two-phase transaction, potentially leading to a merger between Skydance and Paramount. Skydance has previously co-produced Paramount films like “Top Gun: Maverick” and “Star Trek Into Darkness.”
Despite previous adjustments to the offer, Redstone remains supportive of the merger, according to sources. Paramount and the special committee declined to comment.