UK approves Paramount-WBD acquisition

Paramount has also entered into a deed of covenant and undertaking with the UK's Department for Digital, Culture, Media and Sport

The UK Competition and Markets Authority (CMA) has approved Paramount Skydance Corporation's proposed acquisition of Warner Bros. Discovery, marking another regulatory milestone for the transaction.

The approval follows a review by the UK competition regulator and adds to a series of clearances from competition and foreign investment authorities around the world. Paramount has also entered into a deed of covenant and undertaking with the UK's Department for Digital, Culture, Media and Sport (DCMS).

Transaction gains further regulatory approvals

According to Paramount, competition authorities in the United States, Australia, Brazil, Canada, China, Kuwait, Montenegro, New Zealand, North Macedonia, Saudi Arabia, Serbia, South Africa, South Korea, Ukraine, the European Union and the COMESA Competition Commission have cleared the transaction.

The company has also received foreign direct investment approvals in Australia, Belgium, Czechia, Germany, France, Italy, New Zealand, Romania, Spain and Slovenia. The European Commission has approved the deal under its Foreign Subsidies Regulation, while Austria's Federal Competition Authority has also granted approval under its media merger control regime.

Approval covers 66 jurisdictions

With the CMA's decision, regulators or governments representing 66 jurisdictions have either approved the transaction or chosen not to challenge it on competition or foreign direct investment grounds.

Paramount said the combined company would be better positioned to compete in the global media and entertainment market while investing in content production and creating opportunities for creative talent.

CMA findings cited in legal dispute

The company also pointed to the CMA's findings in response to legal action brought by a group of US state attorneys general seeking to block the acquisition.

According to Paramount, the CMA concluded that the merged company would continue to face competition in theatrical film distribution from major studios and smaller competitors. The regulator also found that subscription video-on-demand services compete with other forms of content distribution, while broadcast video-on-demand services, free-to-air television and other streaming platforms continue to provide competitive constraints across several media markets.

Paramount said these findings support its position that the acquisition does not raise competition concerns and are consistent with the European Commission's approval of the transaction in July 2026.

www.paramount.com

Follow Marketing Report on LinkedIn