Shares of Paramount-Skydance and Warner Bros. Discovery rose on a report that Paramount is in talks to resolve the antitrust lawsuit blocking its deal to acquire the media company.
Paramount's stock rose 6% to $10.81 in after-hours trading Friday, while Warner Bros. shares were up 7% to $29.80.
Paramount is in advanced settlement discussions with California officials to try to resolve the lawsuit, which would open the way for the $81 billion acquisition, The Wall Street Journal reported Friday.
The lawsuit was led by California Attorney General Rob Bonta, who argued the combination of Paramount and Warner would create too much concentration in the entertainment industry.