The outcome of Skydance's bid for Paramount is contingent on Shari Redstone's involvement in a special committee, which has ended exclusive negotiations.

• If Shari Redstone doesn't respond to the latest Apollo-Sony offer, the Skydance consortium is ready to withdraw its bid for Paramount, according to a source.
• After its exclusivity period with Paramount expires on Friday, Skydance will not renew its agreement, according to sources.
• On Thursday, a letter was sent by Apollo and Sony to Paramount's board, expressing their interest in acquiring the company for approximately $26 billion, as previously reported by CNBC.

Unless Shari Redstone provides a firm commitment, Skydance Media is prepared to walk away from its offer for Apollo Global Management and Sony Pictures.

The exclusivity window for talks between David Ellison's Skydance, backed by private equity firms RedBird Capital and KKR, and Paramount ends Friday and won't be extended, sources said. As a result, Paramount's shares rose.

Redstone is waiting for confirmation from Paramount's special committee on whether the panel will recommend the Skydance group's bid to acquire the company. With Apollo and Sony expressing interest in acquiring the company for about $26 billion, the Skydance group is seeking Redstone's reaffirmation of her commitment to the deal.

The Skydance consortium is not interested in being a stalking horse offer for Apollo and Sony, one source stated. However, another source suggested that Ellison may be open to collaborating with her, as long as Redstone approves.

On Friday, representatives from Skydance, Redstone's National Amusements, and Paramount's special committee chose not to respond to inquiries.

CNBC previously reported that Apollo and Sony made their latest offer on Thursday. The special committee is currently evaluating the bid, according to sources.

Redstone may receive less than $2 billion for her controlling stake in Paramount, which is lower than Skydance's initial offer. The consortium is contributing additional capital to pay common, Class B shareholders at a nearly 30% premium to the undisturbed trading price of about $11 per share, CNBC has reported. In total, Redstone and Skydance would contribute $3 billion, with the vast majority going to Class B shareholders, according to people familiar with the matter.

The valuation of Skydance in the deal is estimated to be around $5 billion, according to sources. However, it is uncertain if the Apollo-Sony offer provides Redstone with the same premium.

Redstone initially turned down Apollo's offer and opted for exclusive negotiations with Skydance. However, CNBC reported that Redstone preferred a deal that would keep Paramount intact, as Skydance's offer would do so. It is now likely that a private equity firm will split the company apart.