Executive Summary
Warner Bros Discovery trades at $28.95, up 174% year-to-date, as management prepares to reject Paramount's unchanged $30/share offer next week. Luke Stoeman from Madison and Wall identifies the critical price threshold: Paramount must move to $34-35/share to force serious negotiations. The rejection exposes a fundamental asymmetry—this deal represents a 'nice to have' for Netflix but a 'must have' for Paramount, which lacks alternative growth paths in a structurally declining industry. The pay T...
Key Investment Opportunity
Warner Bros Discovery Takeover Arbitrage
WBD rejection of Paramount's $30 offer creates catalyst for bidding war escalation to $34-35 range, representing 17-21% upside from current levels
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