Paramount-Warner Merger Clears Legal Hurdle as 12 US States Settle Lawsuit

Key Facts

1Twelve state Attorneys General have settled a lawsuit that attempted to block the merger between Paramount and Warner Brothers.

2Antitrust officials in the US Department of Justice, European Union, and UK had already approved the merger.

Twelve US state Attorneys General have settled a lawsuit that attempted to block the merger between Paramount and Warner Brothers. ZeroHedge reported that this settlement effectively clears a major legal hurdle for the transaction, which had already received prior approval from antitrust officials in the United States, the European Union, and the United Kingdom.

The settlement terms require Paramount to invest $1.5 billion in US-made films over the next five years and maintain a minimum number of domestic film productions to preserve industry jobs. Session, the resolution of these state-level legal challenges provides a clearer path toward closing the mega-cap media merger.