Netflix Taps Bank to Explore Bid for Warner Bros. Discovery

Netflix is actively exploring a bid for Warner Bros. Discovery’s studio and streaming operations, retaining a financial advisor and gaining access to confidential financial data, Dawn Kopecki, Dawn Chmielewski, and Amy-Jo Crowley reported for Reuters.

Netflix is actively exploring a bid for Warner Bros. Discovery’s studio and streaming operations, retaining a financial advisor and gaining access to confidential financial data. (Photo: Kstanhope of Netflix)

The streaming giant has hired Moelis & Co., the investment bank that advised Skydance Media on its successful bid for Paramount Global, to evaluate a potential offer, two of the sources said.

Netflix has also been granted access to the data room, which contains the financial details necessary to formulate a bid, according to two people familiar with the matter.

Acquiring Warner Bros.’ studio operations would give Netflix control over some of Hollywood’s most successful franchises, including Harry Potter and DC Comics. Warner Bros.’ prolific television division also produces several Netflix hits, including Running Point, You, and Maid.

Adding HBO and its companion streaming service would bolster Netflix’s portfolio of prestige dramas and expand its subscriber base.

CEO Ted Sarandos told investors last week that while the company is traditionally “more builders than buyers,” it does evaluate acquisitions that could enhance its entertainment offerings or significantly expand its reach.