**Netflix Plans $82.7 Billion Acquisition of Warner Bros.**
Streaming giant Netflix (NASDAQ: NFLX) announced its intention to acquire Warner Bros. Discovery, part of a bid valued at $82.7 billion. The acquisition aims to significantly enhance Netflix’s content library, featuring popular brands and studios, such as HBO. However, to finance this transaction, Netflix would need to assume substantial debt.
Investors have reacted negatively to the proposed deal, leading to a 30% decline in Netflix’s stock over the past six months. Complications may arise not only from rival Paramount’s unsuccessful hostile takeover attempt of Warner Bros. but also from potential antitrust issues that could hinder regulatory approval. This deal could dramatically impact Netflix’s share price and operations if it proceeds, especially given Warner Bros. Discovery’s recent financial struggles, where the company reported net losses in three of its last four quarters.
