Today Paramount announced a deal to settle a suit by shareholders of the former CBS against some of its former officers and directors, including Shari Redstone and Joseph Ianiello. With this settlement, Paramount will receive $167.5 million pending court approval, according to Deadline.
This case marks the end of two shareholder suits by former Viacom and CBS stockholders related to the 2019 merger of CBS and Viacom.
The first lawsuit settled claims by Viacom shareholders, and Paramount agreed to pay shareholders $122 million.
The CBS lawsuit was different and has resulted in Paramount receiving $167.5 million. At issue here were claims that Shari Redstone had stocked the CBS board with supporters to help push through a merger. According to these shareholders, a merger that was not in their best interest.
The combined CBS and Viacom into what is now Paramount is a massive streaming giant. With a combined streaming lineup of Paramount+, Showtime, Pluto TV, BET+, and more. Add in the fact that CBS and Viacom owned some of the most popular channels on TV and some of the most popular shows this newly merged company has helped Paramount+ explode.
Now that all of the lawsuits are behind them, Paramount can now move forward with plans to continue to grow in an industry being turned upside down by cord cutting.
Paramount declined to comment past what was stated in the SEC filling. If approved by the judge this will be a final dismissal of this litigation that has hung over the company for the last few years.