Edgar Bronfman’s late-breaking, $4.3 billion offer to acquire Paramount Global argues that it avoids the “inequitable governance arrangement” of the $8 billion bid by Skydance Media and removes operational distractions of a merger with Skydance, according to the offer letter reviewed by TheWrap.
The offer letter maintains that the terms of his bid are more favorable to second-tier investors by proposing that Paramount operate as a standalone public company.
“Our proposal represents a much more favorable outcome for Paramount stockholders and creates a far more viable public company than the Skydance Deal,” Bronfman wrote.
The Bronfman bid submitted on Monday night would aim to double Paramount’s adjusted earnings in the first year through a combination of $3 billion in permanent cost savings and the use of technologies to enhance Paramount’s capabilities — and nearly triple its stock price, Bronfman wrote in the 13-page offer letter sent to Paramount’s special committee evaluating bids.
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