WARNER BROS DISCOVERY has rejected a hostile takeover bid by Paramount launched last week to trump plans by streaming giant Netflix to acquire the Hollywood giant and owner of CNN.

In a statement, Warner Bros said the terms of the Netflix merger were better, while the Paramount offer “once again fails to address key concerns that we have consistently communicated…throughout our extensive engagement and review of their six previous proposals.”

Paramount hoped to carry out a hostile takeover, whereby one company tries to acquire another without the target company’s approval. This can often happen by the bidder going directly to shareholders and avoiding the target company’s management.

“We are confident that our merger with Netflix represents superior, more certain value for our shareholders,” it said.

Netflix shocked the industry on 5 December by announcing it had sealed an agreement to buy the film and television studio for nearly $83 billion (or roughly €70 billion), the entertainment industry’s biggest consolidation deal this decade.

Three days later, Paramount – whose CEO is David Ellison, the son of Larry Ellison, an ally of Donald Trump – launched an all-cash tender offer valuing the entertainment giant at $108.4 billion (approximately €92 billion).

The US president said last week that he wanted to ensure CNN gets new ownership as part of the Warner Bros Discovery sale, targeting the news outlet he has long feuded with.

With reporting by AFP