Paramount’s ‘Dramatic’ Stock Decline Shows a Lack of Faith in Skydance’s David Ellison, Ariel Investments Founder Says

As Paramount Global and Skydance Media’s exclusive talks about a potential merger continue, Ariel Investments founder and co-CEO John Rogers Jr. told TheWrap that the media conglomerate’s recent stock decline indicates a lack of faith in Skydance’s CEO David Ellison.

Watching the developments closely, the executive said that he could consider legal action in the event that a deal doesn’t appropriately benefit his clients. 

The firm, which is a long-term shareholder with a 1.8% stake in Paramount as of the new year, previously told TheWrap Friday that pursuing exclusive talks with Skydance and a deal that would benefit controlling shareholder Shari Redstone at the expense of other shareholders would be “averse” to the company’s fair market value.