The special committee at Paramount has extended the "go shop" period for Skydance Productions as it reviews the offer from the Bronfman family.

• The special committee of Paramount has decided to extend the "go shop" period of its merger agreement with Skydance by 15 days to review a competing offer from Edgar Bronfman Jr.
• The committee made contact with over 50 third parties during the initial "go shop" period to assess potential acquisition interest.
• The Skydance buying consortium, comprising private equity firms RedBird Capital Partners and KKR, has committed to investing over $8 billion in Paramount and acquiring National Amusements.

The future of is still uncertain.

The special committee of Paramount has decided to extend the "go shop" period of its merger agreement with Skydance by 15 days to review a competing offer from Edgar Bronfman Jr.

According to a source, Bronfman initially bid $4.3 billion for Shari Redstone's National Amusements, which controls Paramount. However, after submitting the bid on Monday, Bronfman obtained additional funds to support a higher offer, the source added, requesting anonymity to discuss the specifics of the proposal.

The new offer may replace Paramount's merger agreement with Skydance Media, which was finalized in early July after a month of negotiations. The agreement allowed Paramount a 45-day "go shop" period to explore other offers.

On Wednesday, the special committee confirmed the receipt of an acquisition proposal from Edgar Bronfman Jr., representing a group of investors.

"The 'go shop' period for the Bronfman Consortium has been extended until September 5, 2024, as per the transaction agreement to which the Company is subject. However, there is no guarantee that this process will result in a Superior Proposal. The Company will not disclose any further developments unless it deems it necessary or required to do so."

The committee stated that during the initial "go shop" period, it reached out to over 50 third parties to assess potential acquisition interest. However, the go-shop period will end before midnight Wednesday for all other parties, according to the committee.

The Skydance buying consortium, comprising private equity firms RedBird Capital Partners and KKR, has agreed to invest over $8 billion into Paramount and acquire National Amusements. This deal values National Amusements at $2.4 billion, with $1.75 billion in equity.

Under the Skydance deal, Paramount's class A shareholders would receive $23 per share in cash or stock, while class B shareholders would receive $15 per share, totaling $4.5 billion in cash consideration for public shareholders. Additionally, Skydance committed to investing $1.5 billion in Paramount's balance sheet.

If the Skydance transaction were to close, National Amusements would wholly own class A Paramount shares and 69% of the outstanding class B shares.

The initial bid by Bronfman proposed purchasing National Amusements in an equity deal worth $1.75 billion. This offer included a $1.5 billion investment into Paramount's balance sheet, similar to the Skydance deal, and also covered the $400 million breakup fee that Paramount would owe Skydance if it terminated the deal, according to the source.

Seagram's former CEO, Bronfman, has also served as executive chairman of since 2020. The details of his bid were first reported by The Wall Street Journal.

A lawsuit has been filed by money manager Mario Gabelli seeking access to Paramount's financial records related to the Skydance merger agreement. Additionally, investor Scott Baker has filed a lawsuit to block the deal, claiming it will result in a loss of $1.65 billion for shareholders.