Netflix and Warner Bros. Discovery (WBD) have entered into a definitive agreement under which Netflix will acquire Warner Bros., including its film and television studios, HBO Max, and HBO.
This acquisition brings together two pioneering entertainment businesses, combining Netflix’s innovation, global reach, and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling.
According to the statement, the cash and stock transaction is valued at $27.75 per WBD share, with a total enterprise value of approximately $82.7 billion (equity value of $72.0 billion).
The transaction is expected to close after the previously announced separation of WBD’s Global Networks division, Discovery Global, into a new publicly-traded company, which is now expected to be completed in the third quarter of 2026.
Ted Sarandos, Co-CEO of Netflix, said that, “Our mission has always been to entertain the world. By combining Warner Bros.’ incredible library of shows and movies—from timeless classics like Casablanca and Citizen Kane to modern favorites like Harry Potter and Friends—with our culture-defining titles like Stranger Things, KPop Demon Hunters, and Squid Game, we’ll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling.”
“This announcement combines two of the greatest storytelling companies in the world to bring to even more people the entertainment they love to watch the most. For more than a century, Warner Bros. has thrilled audiences, captured the world’s attention, and shaped our culture. By coming together with Netflix, we will ensure people everywhere will continue to enjoy the world’s most resonant stories for generations to come,” noted David Zaslav, President and CEO of Warner Bros. Discovery.
