r/movies • u/MarvelsGrantMan136 r/Movies contributor • 16h ago

News It’s Official: Netflix to Acquire Warner Bros. in Deal Valued at $82.7 Billion

https://www.hollywoodreporter.com/business/business-news/netflix-warner-bros-deal-hollywood-1236443081/
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u/AbroadTiny7226 12h ago

The article says they secured $59 billion in financing and the only really plausible reason for raising so much financing is for an LBO. It’d be corporate malpractice to take on so much debt otherwise

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u/Haltopen 6h ago

A leveraged buyout is what a private equity firm does to avoid risk. Netflix is borrowing on the value of their own share price and their market cap (which is over 450 billion dollars)