Paramount Global Evaluation by David Ellison & RedBird Capital with National Amusements
Paramount Global Evaluation ...
Subscribe to Newsletter

Paramount Global Evaluation by David Ellison & RedBird Capital with National Amusements

8 December 2023
3354
2 min.
11
Paramount Global Evaluation by David Ellison & RedBird Capital with National Amusements

Paramount's Chessboard

The Norwood, Mass.-based exhibitor, founded by Michael Redstone, currently holds a commanding 77% of Paramount's Class A (voting) shares—a critical factor for those eyeing control of Paramount Global.

While details remain speculative, the saying "where there's smoke, there's fire" gains relevance. Representatives for RedBird Capital and Skydance have not responded to comment requests, and Paramount Global has chosen not to comment at this time.

RedBird and Skydance focus on Paramount Pictures and intellectual property, aiming for control through acquiring Class A voting shares, potentially leading to divestment of CBS, TV stations, and select cable channels.

In past efforts to streamline its portfolio, Paramount Global sought to divest assets like Noggin and BET Media Group. Notably, the company completed transactions involving Bellator, Simon and Schuster, and Television City in Los Angeles.

As of today, Paramount Global's market cap is $9.9 billion, closing at $15.03.

Industry Challenges

Paramount faces significant challenges in the dynamic streaming landscape. Amid intense competition, traditional sectors like broadcast and cable TV are witnessing declines. The TV Media division reported a notable 14% decrease in advertising during the third quarter.

Market Dynamics

The recent surge in interest rates has significantly influenced the feasibility of M&A deals, leading to a more cautious business environment. Despite this, financial experts indicate that the current period may represent the ideal opportunity for the existing owners to sell Paramount.

Creditworthiness Concerns

Entering the New Year, Paramount Global carries substantial financial obligations, raising questions about its creditworthiness.

RedBird Capital's Financial Commitment

Notably, RedBird Capital has made a financial commitment, including the launch of Ben Affleck and Matt Damon's Artists Equity production company. They are producing the Amazon MGM feature, "Air."

Conclusion

The potential acquisition of Paramount Global by RedBird Capital and Skydance presents a significant shift in the entertainment industry landscape. As Paramount navigates challenges and explores strategic moves, the coming months may unveil transformative developments.

Persons3 and Companies8 in the news

American actor
1 place
Founder of National Amusements, Inc.
2 place
American actor and filmmaker
3 place
Bellator MMA
2 place
Skydance Media
4 place
CBS News
8 place
Section:
Source foto:
flickr.com
Rating companies
Instagram
14 Mention
Netflix
14 Mention
Tesla
12 Mention
Amazon
10 Mention
Ford Motor Company
10 Mention
JP Morgan Chase
9 Mention
White House
7 Mention

NEW YORK NEWS

News from GlobalNY.biz is the freshest and most relevant information about high-profile events in the region. The task of the resource's news feed is to convey to readers with maximum accuracy and objectivity information about important events in business, politics, economy, healthcare, culture and other spheres of life in New York.
GlobalNY.biz news is a coverage of economic processes taking place in New York, the latest news of public life, incidents and an overview of political events. New York news is information about the activities of small and medium-sized businesses, the work of housing and communal services and utilities, the implementation of significant projects.
The site's journalists describe not only the life of the region, but also talk about the current state of the US economy. Everything you need to know about innovations in the field of industry and agriculture, economy and power is collected in the "News" section at GlobalNY.biz.
New York news quickly informs the reader, shows the real picture and opens up hot topics. Communication with government structures and business enables us to provide our readers with reliable, information-rich material. The main page of the portal contains the key news of New York!
Alena Potapova

Development Director
Population
8138316748
Died this year
31843174
Born this year
78339844