Warner Bros. Discovery is reopening discussions with Paramount, owned by Skydance, to consider their final offer, while simultaneously supporting the agreement with Netflix. The company, known for owning HBO Max and a vast collection of popular titles such as the Harry Potter series and DC superhero franchise, disclosed in a recent regulatory filing that it has been granted a seven-day waiver by Netflix to engage in talks with Paramount until Monday.

This move allows the companies to address any outstanding issues and clarify specific terms in Paramount’s latest proposal. Despite dismissing previous bids from Paramount, including a hostile bid in December, Warner emphasized that resuming talks does not indicate a shift in their stance, as reiterated in their response to Paramount.

Warner Bros. chairman Samuel DiPiazza Jr. and CEO David Zaslav stated in a letter to the Paramount board that they have not determined Paramount’s proposal as superior to the Netflix merger and continue to stand by their recommendation for the Netflix deal.

In a significant deal, Netflix agreed to acquire Warner’s studio and streaming business for $72 billion in an all-cash transaction, covering various TV and movie production arms, including HBO Max. The total enterprise value of the deal, including debt, amounts to about $83 billion.

While Paramount expressed disappointment over the timed nature of Warner’s board actions, it remains open to constructive discussions. Paramount continues to push forward with its tender offer of $30 per share, claiming it surpasses Netflix’s proposal and intends to proceed with a proxy fight.

Unlike Netflix, Paramount aims to acquire Warner’s entire entity, including networks like CNN and Discovery, with an initial all-cash offer of $77.9 billion in December. The enterprise value of Paramount’s bid stands at $108 billion, including debt, with a per-share offer of $30. Paramount hinted at increasing its offer to $31 per share pending further engagement.

Both companies are vying for control of Warner’s extensive film and TV library, which includes iconic titles like Casablanca and Citizen Kane, as well as popular HBO shows like Game of Thrones. The impending sale will undergo regulatory scrutiny, and Warner Bros. has a shareholder vote scheduled for March 20, following a special meeting on Friday. The stock prices of Warner Bros., Paramount Skydance, and Netflix saw varied movements in response to these developments.