The British government could intervene in the $111 billion takeover of Warner Bros Discovery by Paramount Skydance, citing concerns around the need for a plurality of views in news as well as media ownership in the UK.
UK culture secretary Lisa Nandy said on Tuesday that she was “minded to intervene” in the deal, which would create one of the world’s largest media and entertainment groups.
The takeover would lead to WBD media franchises such as CNN, HBO ,and Warner Bros movies being added to Paramount’s stable of assets, which include CBS in the US and Channel 5 in the UK.
Nandy said in a statement to parliament that she had written to the current and proposed owners of WBD to inform them that she was minded to intervene on public interest grounds.
These included the need for a sufficient plurality of views in news media in the UK, and the need for there to be a sufficient plurality of ownership of media enterprises.
The focus will be those businesses that operate in the UK and provide a range of services available to UK audiences, including Channel 5, TNT Sports, Cartoon Network, Nickelodeon and CNN International, as well as streamers Paramount+ and HBO Max.
A final decision on the intervention had not been taken, Nandy added, with Paramount given until July 6 to respond. If she decides to proceed, the deal will be scrutinised by Ofcom and the Competition and Markets Authority, which has already launched a separate merger inquiry on antitrust grounds.
