New York investor Soo Kim, who based Standard General, has been approached by at least one main Warner Bros. Discovery shareholder about shopping for CNN, according to a report.
Kim has been in talks about probably shopping for or investing in WBD’s cable property, which embrace CNN, TNT, Discovery Channel and Animal Planet, people briefed on the matter instructed the Financial Times.
Those TV networks are slated to be spun off into a separate company, as Netflix has agreed to buy WBD’s studio and streaming business in a $72 billion deal – though Paramount has submitted a hostile bid to take over the whole company and accused WBD of failing to correctly negotiate.
Soo Kim, founder of Standard General, has been approached by at least one main Warner Bros. Discovery shareholder about shopping for CNN, sources instructed the Financial Times. yogonet.com
Standard General and Warner Bros. Discovery did not immediately reply to The Post’s requests for remark.
An investment from Kim could present a vote of confidence in the flailing cable property, which are reportedly dealing with a heavy debt load and shrinking TV viewers, according to the report.
It would fall in line with earlier investments from Kim, who’s identified as a “vulture capitalist” – investing in flailing properties and casinos as he constructed up his playing empire.
Kim’s properties embrace 15 Bally’s casinos across 10 states, as nicely as a horse racetrack in Colorado and a Ferry Point golf course that he purchased from the Trump Organization last 12 months for tens of tens of millions of {dollars}.
Just this week, Bally’s won one of three coveted licenses to construct a New York City on line casino, which it plans to assemble at the Ferry Point web site.
Kim has since set his sights on the struggling tv business. In 2010, Standard General purchased Young Broadcasting out of chapter, merged it with rival media firms and offered it to Nexstar Broadcasting.
WBD’s cable property, including CNN, are at the moment slated to be spun off into a separate company. Getty Images
In 2022, he announced a $9 billion deal to purchase native TV station giant Tegna with financing from personal equity firm Apollo – but the deal fell aside in 2023 after dealing with heated regulatory opposition.
Meanwhile, WBD’s board members have unanimously urged shareholders to reject Paramount Skydance’s $78 billion hostile bid for the company, which would embrace CNN.
In a heated assertion on Wednesday, it blasted the bid as “illusory” and claimed Paramount lacked secure funding, failing to meet the bar of a “superior proposal” from Netflix.
Paramount’s offer comes with “significant risks and costs imposed on our shareholders,” and does not offer regulatory advantages in contrast to the Netflix deal, WBD board chair Samuel Di Piazza Jr. said in a assertion.
It also alleged the Ellison household – the rich billionaires behind Paramount Skydance – has not supplied an “equity backstop” for the bid, or a guarantee to make up for any potential collapse in financing.
Paramount rapidly refuted the claims, stating: “Paramount has lined up all necessary financing to deliver its offer to WBD shareholders, and it is not subject to any financing conditions.”
CNN anchors Dana Bash and Jake Tapper and Univision anchor Ilia Calderón. AFP via Getty Images
It accused WBD of refusing to correctly negotiate with Paramount or its advisors, instead unfairly favoring Netflix.
Warner Bros. said it took dozens of calls and conferences with bidders including the Ellisons, and even raised its considerations about the financing and gave them several possibilities to improve their offer.
Larry Ellison, who based Oracle, and his son David, chief govt of Paramount Skydance, have no instant plans to increase their offer above $30 a share in money, The Post beforehand reported.
But they do plan to cowl the deal’s $2.8 billion breakup payment if buyers aspect with their offer.
Netflix’s deal is value $27.75 a share in money and stock.
WBD said Wednesday that several potential patrons expressed curiosity in its TV property, though it did not specify any names.