The prolonged saga involving media and entertainment giant Paramount Global being sold to Skydance Media is getting a new twist. Holding company Apex Capital Trust is attempting to hijack Skydance’s deal and has submitted a $43 billion all-cash bid for Paramount.
Earlier in July, Skydance agreed to acquire Paramount’s controlling shareholder, National Amusements, in a $2.4 billion deal and merge with Paramount. The agreement contained a “45-day” provision during which National Amusements was allowed to seek a better deal.
Apex Capital Trust, which primarily invests in the financial sector, believes they have presented National Amusements with a better deal, offering $35 a share for Class A voting shares as well as $23.28 per share for non-voting Class B shares of Paramount. Both offers represent a 33% premium on the 52-week high price of the shares.
Additionally, Apex Capital is willing to assume Paramount’s debt of $15.8 billion and invest a further $10 billion in the company for purposes of content creation and acquisition, innovation, and global expansion. It also committed to pay a $400 million break-up fee to Skydance.
“Paramount and its assets are a national treasure, and we intend to treat them accordingly. Paramount’s global future is bright, but it requires resources, which we have and are enthusiastic to deploy, making it a win-win situation for all of Paramount’s stakeholders,” Tatiana Logan, General Counsel at Apex Trust, said in a statement.