The British government has signalled that it is likely to intervene in Paramount Skydance’s proposed $110 billion takeover of Warner Bros. Discover, citing concerns about maintaining media plurality.
Lisa Nandy, the U.K.’s Secretary of State for Culture, Media and Sport, said in a statement on Tuesday, “Following engagement with the parties and independent research, my department has today written to the current and proposed owners of Warner Bros Discovery on my behalf to inform them that I am minded to intervene.”
The move was prompted by concerns about the impact the deal might have on U.K. television audiences, including broadcasters and channels such as Channel 5, Cartoon Network, Nickelodeon and CNN International, as well as streaming platforms Paramount+, TNT Sports and HBO Max.
Nandy is looking to broaden public interest rules to better reflect the growth in streaming, she said.
The deal has previously been cleared in the U.S, China, Australia, Germany, France and Saudi Arabia, and it is thought likely the European Union will give it the greenlight if certain “remedies” are made, such as the ending of the Paramount-Universal distribution joint-venture known as UIP.