Recently, insiders revealed that Sony and Apollo are in discussions to jointly acquire Paramount. The responsible parties from both companies had a meeting last week to discuss this plan, but no formal offer has been submitted yet.
Sony's involvement in the film and television industry is not new. Back in 1989, Sony had already acquired Columbia Pictures, another giant in the U.S. film and television industry. Columbia Pictures is one of the few major Hollywood studios still committed to traditional TV channels, while most studios have embraced streaming media amidst the streaming boom.
Currently, Columbia Broadcasting System, the parent company of MTV and Paramount Global, is conducting exclusive negotiations with Skydance Media, which is backed by the son of Oracle Corporation's CEO, indicating its profound background.
According to today's news, Sony, in partnership with Apollo, plans to use cash to directly purchase Paramount Global and privatize the cinema giant after the acquisition. Following this news, Paramount's stock price began to soar, rising nearly 14% after hours.
The current head of Paramount Global is Shari Redstone, who controls Paramount through a family business named National Amusements, holding 77% of Paramount's voting rights. However, they are currently inclined to negotiate with Skydance Media, who proposed a merger of the two companies rather than an acquisition.
