WBD agrees to $31/share PSKY buyout after $2.8B Netflix breakup fee hits Q1 results

Filed May 6, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 8, 2025 · ~2 min read

Key Changes

• high

  WBD terminated Netflix merger in February 2026 to accept superior PSKY offer at $31/share cash; $2.8B termination fee (paid by PSKY) drove Q1 operating loss to $2.5B vs $37M prior year. Stockholders approved deal April 23; closing expected by March 2027 pending regulatory review.

  MD&A: Netflix/PSKY Transactions verify on EDGAR →
• high

  New $15B bridge loan facility drawn in full as of March 31, 2026, maturing June 2027; management expects to refinance before maturity but provides no assurance. Revolving credit capacity reduced from $6B to $4B, though facility remains undrawn.

  MD&A: Liquidity verify on EDGAR →
• high

  Streaming EBITDA grew 29% to $438M on 7% distribution revenue growth (HBO Max global expansion) and 19% advertising revenue growth (ad-lite subscriber gains). Studios EBITDA surged to $775M from $259M on 58% television product revenue increase.

  MD&A: Segment Performance verify on EDGAR →