An SEC filing from February 20 gives the transcript of an interview from Co-Chief Executive Officer of Netflix Ted Sarandos on “The Claman Countdown” with Liz Claman. In the interview, Sarandos addresses Hollywood reactions to the potential sale of Warner Bros. Discovery to Netflix, along with Paramount’s attempts to prevent the deal and purchase the media company itself.
Claman opened the interview by asking Sarandos directly about comments made by director James Cameron, who recently said that Netflix owning WBD would be “a disaster.”
Sarandos, who said he was surprised by the comments, took the opportunity to address rumors that Netflix would shorten the theatrical window to just 17 days. Sarandos says the company has made a “45-day commitment to theatrical exhibition of films and to the Warner Bros. slate.” Addressing another concern that Netflix would cut down the typical slate of 15 films per year released in theaters, Sarandos said that was never part of the plan, promising “a healthy robust slate of films every year.”
Paramount, Sarandos told Claman, is the company that Hollywood should be worried about. “Paramount has vowed to cut $6 billion out of that business,” he said.
On the topic of Paramount, Claman asked for Sarandos to comment on Paramount making yet another offer to thwart the Netflix deal and buy the company itself. Claman notes that Netflix allowed a 7-day window to be opened for Paramount to make a new offer. That 7-day window expires tonight at midnight.
“Look, first we’re very confident in the bid that we have that it offers the most value to Warner Bros. Discovery shareholders and the best long-term value for Netflix as well,” Sarandos responded. “So confident that we wanted to make sure we deliver to Warner Bros. Discovery shareholders absolute confidence and certainty about this deal. If there’s another deal floating out there, take the 7 days and better understand it, and then come back and let’s get this thing done.”
Paramount’s most recent offer was a proposal of $30 per share for the entire company. Netflix has made an all-cash offer of $27.75 per share for WBD’s studio and streaming services. Claman suggests that Paramount is likely to increase the price per share to over $31, which aligns with a Variety report about insiders claiming that the offer will likely be for $32 per share.
Warner Bros. Discovery’s shareholder vote meeting will take place on March 20. Investors will vote to approve the Netflix deal, reject the deal, or abstain.