""With two strong competitors vying to secure the future of this unique American asset, Affinity has decided no longer to pursue the opportunity," an Affinity spokesperson said. "The dynamics of the investment have changed significantly since we initially became involved in October. We continue to believe there is a strong strategic rationale for Paramount's offer.""
"By the numbers: Paramount's first unsolicited bid began at just $19 a share - versus the $30 in play now - and included both cash and stock. But the value of Paramount's stock declined. After the board invited bids from suitors, Paramount's offers were cash-only. Were Paramount to come back with an increased offer, it would need to go above $30 per share, sources told Axios."
"Some 60% of the $40 billion in equity funding for Paramount's latest offer came from sovereign wealth funds, including the Kingdom of Saudi Arabia's Public Investment Fund, Abu Dhabi's L'imad Holding Company and the Qatar Investment Authority. Kushner is believed to have helped Paramount broker some of those funding relationships."
The Warner Bros. board questioned whether Paramount could close financing if one of its seven funding partners (aside from RedBird Capital) withdrew. The board faces a legal deadline of Dec. 22 to respond to the hostile takeover, with a response expected sooner. Affinity Partners withdrew from the bid, saying investment dynamics changed since October while still supporting a strategic rationale for Paramount's offer. Paramount's initial unsolicited bid started at $19 per share and later rose to $30 in cash-only offers after its stock declined. About 60% of the $40 billion equity funding came from sovereign wealth funds, and Jared Kushner helped broker some funding relationships. If the board rejects the offer, Paramount must decide whether to increase its bid above $30 per share.
Read at Axios
Unable to calculate read time
Collection
[
|
...
]