LOS GATOS, California: Netflix has sharpened its pursuit of Warner Bros. Discovery, shifting to an all-cash offer as it seeks to secure shareholder backing for a US$72 billion deal and fend off a rival takeover attempt from Paramount, backed by Skydance.

The streaming giant said it will now buy Warner Bros. Discovery's studio and streaming businesses entirely in cash, revising a cash-and-stock agreement announced in December. The move is intended to simplify the transaction, provide Warner shareholders with greater certainty about value, and accelerate a shareholder vote that could take place as early as April.

The revised offer values Warner at $27.75 per share, unchanged from December. Including debt, the earlier deal implied a total enterprise value of $82.7 billion. Under the updated structure, Warner shareholders would also receive shares in Discovery Global, which would become a separate publicly traded company following a previously announced separation from Warner Bros.

Warner's leadership has consistently backed a merger with Netflix, and the boards of both companies approved the all-cash deal announced on January 20. In a statement, Warner Chief Executive David Zaslav said the revised agreement "brings us even closer to combining two of the greatest storytelling companies in the world."

The move comes as Paramount presses its own hostile bid. Unlike Netflix, Paramount has offered to acquire all of Warner Bros. Discovery — including cable networks such as CNN and Discovery — through an all-cash offer valued at $77.9 billion, or $108 billion including debt.

Warner shareholders have until 5 p.m. ET on Wednesday to tender their shares in support of Paramount's bid, though that deadline could be extended. The Wall Street Journal reported last week that Paramount was planning another extension. Paramount has also promised a proxy fight, saying it will nominate its own slate of directors ahead of Warner's next shareholder meeting, the date of which has not been set.

Paramount has also taken legal action, filing suit in the Delaware Chancery Court to compel Warner to disclose how it values both bids. A judge denied Paramount's request to fast-track the case last week. Warner welcomed that decision, calling the lawsuit "yet another unserious attempt to distract," while Paramount said shareholders "should ask why their Board is working so hard to hide this information."

Beyond the bidding battle, any sale of Warner Bros. Discovery is expected to face intense regulatory scrutiny. Netflix and Warner reiterated that they anticipate closing a merger 12 to 18 months after December's agreement, though Paramount's hostile offer could complicate that timeline.

Political considerations may also play a role. U.S. President Donald Trump has made unusual suggestions about his personal involvement in determining whether such a deal would be approved.

Trade groups across the media and entertainment sector have raised concerns about both bids, warning that further consolidation could lead to job losses and reduce content diversity, with particular risks for the filmmaking industry.

Netflix executives sought to counter those fears. Co-CEO Ted Sarandos said this week that a merger with Warner would "deliver broader choice and greater value to audiences worldwide" while also "driving job creation and long-term industry growth."

Markets reacted cautiously. Netflix shares edged up just under one percent in early trading, while shares of Warner Bros. Discovery and Paramount-Skydance dipped slightly.