Paramount in Negotiations with Sony Pictures and Apollo Group

Paramount Pictures is in the midst of intense negotiations with Sony Pictures Entertainment and the private equity giant Apollo Group, after exclusive talks with Skydance lapsed. The special board committee of Paramount met over the weekend and decided to open deal discussions with Sony and Apollo, who have submitted a letter of interest valuing the company at $26 billion. Paramount, known for owning Nickelodeon, MTV, CBS, and Paramount Pictures, is exploring potential deals amidst industry challenges such as the decline of cable TV and streaming profitability. Regulatory hurdles may impact any potential deal with Sony, as foreign ownership restrictions could prevent Sony's parent company, based in Japan, from owning CBS outright.

Government regulators have been closely scrutinizing acquisitions under President Biden, with a focus on maintaining competition in the market. National Amusements, Paramount's parent company, holds veto power over any deal, adding complexity to the negotiation process. Stay tuned for further updates on this evolving story.