Warner Bros Discovery shares surged as much as 24% following media reports that Paramount Skydance is preparing to launch an acquisition bid for the company, with the proposed offer expected to be primarily cash-based. Following the report's publication, Paramount Skydance shares also rose.

Paramount Skydance stock jumped as much as 9.9%.

Sources familiar with the matter indicated that the acquisition would target the entire company, including its cable television networks and film production operations.