In a landmark announcement that will transform the entertainment industry, Netflix has revealed its plan to acquire Warner Bros. Discovery, including HBO, in a deal valued at $82.7 billion. The agreement brings together Netflix’s streaming dominance with Warner Bros.’ century-long legacy of film and television production, creating an entertainment powerhouse with an unparalleled content library.
The acquisition values Warner Bros. Discovery at $27.75 per share, translating to a total equity value of approximately $72.0 billion and an enterprise value of $82.7 billion. This price represents a significant premium and reflects Netflix’s commitment to expanding its content offerings in an increasingly competitive streaming market. Both companies’ Boards of Directors have unanimously approved the transaction, paving the way for regulatory review and eventual completion.
Netflix co-CEO Ted Sarandos highlighted the strategic importance of this acquisition, noting that the merger will combine Warner Bros.’ iconic library spanning from golden-age classics to contemporary blockbusters with Netflix’s culture-defining original programming. The expanded catalog will provide subscribers with an even more diverse selection of entertainment options, strengthening Netflix’s position as the leading streaming service globally.
Warner Bros. Discovery CEO David Zaslav characterized the deal as a natural evolution for both companies, emphasizing that this combination will amplify their collective ability to reach audiences worldwide. By leveraging Netflix’s global distribution platform and Warner Bros.’ proven content creation capabilities, the merged entity is positioned to set new standards for entertainment delivery and storytelling innovation in the digital age.