Paramount says its $111 billion Warner Bros. Discovery merger still faces closing conditions, and its timing is uncertain. It targets Oct. 5 to issue about 470 million warrants to eligible Class B holders, but distribution depends on closing and may be postponed or canceled.
Paramount expects Nasdaq trading in its Class B stock to end on or about Oct. 5, with NYSE trading starting on or about Oct. 6. The board set the close of business Oct. 5 as the warrant record date; shares held by Paramount Global’s 401(k) Plan and Master Trust would receive Class B stock instead of warrants.
If issued, each warrant would initially let its holder buy one Class B share in the new entity on terms intended to be similar to those offered to the deal’s equity-syndicate participants. The exercise price would be based on the average daily volume-weighted share price over 20 trading days ending on the third business day before the merger closes, with a $12 floor and a $16.02 cap. The shares would begin trading Oct. 13.
