Billionaire Barry Diller Eyeing Control of Paramount

The billionaire Barry Diller is reportedly considering a bid to assume control of Paramount, the parent company of CBS, MTV, and Nickelodeon, as per sources familiar with the situation.

Exploratory Talks with National Amusements

Diller’s digital-media conglomerate, IAC, has taken preliminary steps by signing nondisclosure agreements with National Amusements, Paramount’s controlling shareholder. Nondisclosure agreements are crucial in facilitating confidential information exchange during deal negotiations.

Complex Sale Dynamics

The potential acquisition of Paramount by Diller adds a new layer to the intricate sale dynamics of the media industry. Paramount’s recent negotiations with Hollywood studio Skydance almost led to a deal before abruptly falling through.

Recent Developments

The nondisclosure agreements with National Amusements were formalized post the breakdown of discussions between Paramount and Skydance in June, according to sources familiar with the matter.

Interest from Various Parties

Aside from Diller’s IAC, other entities like Edgar Bronfman Jr. and Hollywood executive Steven Paul have shown interest in acquiring National Amusements, hinting at a competitive landscape for potential control of the media company.

Diller’s History with Paramount

For Diller, pursuing control of Paramount would represent a significant milestone, given his previous attempt to acquire Paramount Pictures in the early ’90s. His journey in the media industry has been marked by notable successes and setbacks.

Potential Implications

An acquisition of National Amusements would provide the buyer with control over Paramount’s valuable studio library. However, it would also entail taking on substantial liabilities, including a considerable debt load and challenges in the cable business sector.