Paramount is demanding nearly $1.9 billion in bond payments from state attorneys general who are fighting its merger with Warner Bros. Discovery (WBD), escalating the financial stakes in a legal battle that could reshape the media landscape. The company argues the bond is necessary to cover losses incurred from delaying the $89 billion merger, which faces opposition from multiple states over antitrust concerns. The demand underscores the high financial toll of regulatory challenges to megadeals in an era of heightened antitrust scrutiny. According to filings and reports, the requested amount ranges from $1.8 billion to $1.9 billion, depending on the source. Paramount has framed the bond as essential to offset the merger’s stalled progress, warning that delays are costing shareholders millions daily.
The push for a bond is the latest maneuver in a widening legal standoff between Paramount and state AGs, who have accused the merger of reducing competition in the streaming and film industries. California Attorney General Rob Bonta, a key opponent of the deal, rejected Paramount’s $1.88 billion bond request outright, calling it an attempt to force a ‘do-over’ on the merger delay. The rejection signals that the fight over the merger will continue unabated, with both sides digging in for a prolonged legal battle. Bonta’s office did not mince words, stating in a filing that Paramount’s demand amounted to an effort to ‘rewrite the rules’ of antitrust enforcement. The agency argued that the bond was not only excessive but also unnecessary, given the lack of evidence that the merger delay had caused the scale of harm Paramount claimed.