Paramount reaches agreement with states to settle merger case

A coalition of 12 US state attorneys general has reached a settlement with Paramount, clearing a legal obstacle to its $110 billion acquisition of Warner Bros. Discovery.

CNN reports that California Attorney General Rob Bonta announced the agreement Monday after the states sued to block the merger on antitrust grounds.

Under the settlement, Paramount will make commitments, including releasing 30 films in cinemas and establishing a news editorial independence board for CBS News and CNN.

The companies expect the transaction to take effect in early October.

The merger will combine Paramount’s studios, CBS and Paramount+ with Warner Bros.’ studios, HBO, CNN and other cable networks.

Paramount maintains the deal will strengthen competition in a media industry dominated by technology companies.