All of Hollywood woke up this morning to news that will define our industry for the 21st century. Netflix has entered exclusive negotiations with Warner Bros. to acquire it and HBO. The massive cash and stock transaction values the deal at approximately $82.7 billion in total enterprise value ($72.0 billion equity value), with WBD shareholders receiving $27.75 per share.There's a lot to unpack with this deal, so let's dive in. Netflix and Warner Bros. Will Become One Entity This acquisition brings together Netflix’s global reach with Warner Bros.' century-long legacy in Hollywood. The combined company will be massive and will house an unrivaled catalog that covers classic movies and TV shows alongside brand new hits from the modern era. You kind of have to assume that Netflix will just erase HBO and put everything on one streaming channel, which will be massive and which can charge as much as they want. Key Intellectual Property (IP) Joining Netflix:The Big Bang TheoryThe SopranosGame of ThronesHarry PotterThe Wizard of OzThe entire DC UniverseTimeless classics like Casablanca and Citizen Kane 'Harry Potter and the Sorcerer's Stone' Credit: Warner Bros. Pictures Netflix's Point of View This is a huge coup for the streamer that started out by just mailing DVDs to people without late fees. They are now a massive global company with interests all over. They have the largest subscriber base and will add even more. Netflix co-CEO Ted Sarandos emphasized the mission to entertain, stating, "By combining Warner Bros.’ incredible library of shows...
Published By: NoFilmSchool - Today