Paramount faces impasses in finalizing Warner acquisition and shares fall

Shares of Paramount fell 4% in trading on Thursday (9), falling as much as 9% at session lows, as investor concerns grow about the media company's path to completing its deal with Warner Bros. Discovery.

Paramount Skydance's management may not have the experience necessary to manage the high level of debt that will result from the merger with Warner Bros. Discovery, according to analysis by Arete Research released by Bloomberg.

If the transaction is approved, the combined company will have gross debt of US$86 billion, according to the consultancy.

According to The Wall Street Journal, the transaction still faces multiple regulatory reviews and threats of state-level lawsuits in the United States.

Reuters reported late yesterday that the Oregon attorney general's office said Paramount told the agency it would not complete the $81 billion deal before July 22.

The transaction is also being analyzed in the United Kingdom.

Warner Bros shareholders approve acquisition by Paramount

In Brazil, SG/Cade (General Superintendence of the Administrative Council for Economic Defense) approved, without restrictions, the acquisition, by Paramount, of all of Warner's outstanding shares.

Published in the Thursday (9) edition of the Official Gazette of the Union, the SG's decision is not yet final and may "go up" to Cade's administrative court for analysis and possible amendment.

Source: CNN