From Streaming to Debt—5 Takeaways From Paramount’s Post‑Merger Conference Call

Paramount Skydance has outlasted streaming giant Netflix in the bidding war for Warner Bros. Discovery’s entertainment empire.

The film, television, and streaming studio talked about the deal on March 2 for the first time since it agreed to buy Warner Bros. for cash in a transaction valued at $110 billion.

Although the hostile takeover ends the months-long saga, the merger process has just begun.

Here are five takeaways from Paramount’s conference call with analysts.

HBO Max and Paramount+

Paramount executives plan to merge HBO Max and Paramount+ into a single streaming service following the completion of its purchase.

The company stopped short of providing specific details such as pricing, but CEO David Ellison noted during the conference call that he wants to maintain the HBO brand.

“Our viewpoint is HBO should stay HBO,” Ellison said. “They built a phenomenal brand. They’re a leader in the space, and we just want them to continue doing more of it.”

By combining the two streaming platforms, the content can reach a broader audience.

Over the years, HBO has put together several prestigious dramas and popular comedies.

Some of the platform’s major titles include “Game of Thrones,” “The Sopranos,” “Succession,” “The White Lotus,” and “True Detective.”

“HBO is a crown jewel in this business, having brought to life some of the most powerful stories told over generations,” Ellison said.

$79 Billion Debt

The Paramount Skydance–Warner Bros. merger will establish a company with net debt of approximately $79 billion, Paramount chief strategy officer Andy Gordon said.

Paramount plans to target $6 billion in cost savings and reach investment-grade status within three years of closing. It is unclear what measures the company will employ to reach this goal.

Ellison stressed that most of the savings would not come from labor.

Additionally, conditions may remain the same, as there are no plans to pull back on production or to sell assets, whether real estate or cable channels.

“Like at Paramount, believe in the assets we’re buying,” Gordon said. “There’s no plans to divest or spin off a package of cable assets at this time.”

Pledge to Release 30 Movies in Theaters Per Year

Ellison reaffirmed his commitment to releasing 30 films in theaters per year once Paramount completes its merger with Warner Bros.

During negotiations, Ellison repeatedly noted that he supports the in-person theatrical experience.

“As we have said consistently, we are committed to delivering a broad pipeline of high-quality storytelling, including 15 theatrical films per year per studio, for a total of at least 30 films annually,” Ellison told analysts.

“We really believe that movies should be seen in theaters.”

Paramount has highlighted its “ability to increase output,” with Ellison noting that it will release at least 15 movies this year, up from eight in 2025.

He also lauded Warner Bros. for its “powerhouse slate” last year, alluding to “Superman” and “A Minecraft Movie.”

Regulatory Roadblocks

The company anticipates that the deal will be closed in the third quarter of 2026, subject to shareholder and regulatory approval and other conventional closing conditions.

In the coming months, Paramount will need to convince global regulators and shareholders to give the merger their nod of approval.

So far, according to Gordon, the company has “already made significant progress in securing regulatory clearances globally.”

“There’s no statutory impediments to close in the United States,” he said. “We’ve initiated pre-notification discussions with the European Commission already.

“As an example of our progress, Germany and Slovenia have already given their approval to proceed.”

In the United States, it is unclear how much appetite lawmakers and regulators have for approving the acquisition.

Before last week’s announcement, many in Washington had already expressed skepticism about either a Netflix–Warner Bros. or Paramount–Warner Bros. merger.

Sen. Elizabeth Warren (D-Mass.) urged state attorneys general “to enforce the law.”

“A Paramount Skydance-Warner Bros. merger is an antitrust disaster threatening higher prices and fewer choices for American families,” Warren said in a Feb. 26 statement.

In a Feb. 26 post on X, California Attorney General Rob Bonta said it is “not a done deal.”

“These two Hollywood titans have not cleared regulatory scrutiny—the California Department of Justice has an open investigation, and we intend to be vigorous in our review,” Bonta said.

President Donald Trump has not commented on the merger.

In October 2025, Trump told reporters that Ellison and his father, Oracle billionaire Larry Ellison, would “do the right thing.”

The White House did not respond by publication time to a request for comment.

Seeing Green

Share prices of Paramount Skydance (PSKY) surged following the news, climbing by about 25 percent over the past week. But the stock declined by more than 2 percent on March 2.

After Netflix dropped its bid for Warner Bros., a relief rally lifted Netflix (NFLX) share prices, which have surged by about 28 percent.

The Warner Bros. (WBD) share price rose by about 0.7 percent to kick off the trading week at about $29.

Despite Paramount agreeing to buy the century-old company for $31 per share in cash, Warner Bros. shares will likely trade below this price until the transaction is close to completion.

Kimberly Hayek and Jill McLaughlin contributed to this story.