California could sue to block Paramount-Warner Bros. merger

California’s top prosecutor is getting involved. topproposed merger of warner bros discovery.

“Paramount/Warner Bros. is not a done deal,” California Attorney General Rob Bonta said Thursday. “These two Hollywood titans have failed to withstand regulatory scrutiny. The California Department of Justice is conducting an open investigation and we plan to actively review.”

Bonta weighed in on the merger hours later. netflix refuse to increase the bid for Warner Bros., which positioned Paramount as the winner. bidding war. The David Ellison-led company’s offer will almost certainly be accepted by Warner Bros.’ board.

If the government approves the deal largely as expected, the only approval Paramount will need to complete the merger will be that from European regulators. Another consideration is potential lawsuits from states seeking to block the acquisition. California will almost certainly lead all efforts on this front.

In a statement last week, Bonta said his office would investigate all transactions involving Warner Bros. “The film and entertainment industry is not only of historic significance to our state, it is a vital sector that fuels California’s economy and impacts the lives of Americans every day,” he said. “The proposed Warner Bros. deal is subject to a full and robust review, and California is reviewing it very closely.”

Earlier this month, consumers filed a lawsuit in federal court in California to stop the deal. This case provides another route to stop the takeover, but it is largely considered unlikely.

On Thursday, Sen. Elizabeth Warren called the deal an “antitrust disaster.” She added, “A handful of Trump-linked billionaires are trying to control what you watch and charge you whatever price they want.”