According to three informed sources, Netflix is actively considering an acquisition of Warner Bros. Discovery's studio and streaming operations, having engaged financial advisors and obtained financial data.
Two sources revealed that the streaming giant has hired Moelis & Co to evaluate a potential bid. Moelis previously advised on Skydance Media's successful acquisition of Paramount Global. Additionally, Netflix has secured access to a data room containing financial details necessary for the deal.
Warner Bros. Discovery and Moelis declined to comment, while Netflix could not be reached for a response.
Owning Warner Bros.' studio assets would grant Netflix control over some of Hollywood's most successful franchises, including *Harry Potter* and DC Comics. Warner Bros.' prolific TV studio also produces several Netflix hits, such as *The Lincoln Lawyer*, *You*, and *Maid*. HBO and its streaming service would further expand Netflix's premium content library and subscriber base.
Netflix CEO Ted Sarandos told investors last week that while the company traditionally prefers "building over buying," it evaluates acquisitions based on opportunity size and potential to enhance its entertainment offerings.
Sarandos clarified that Netflix has no interest in Warner Bros. Discovery's cable networks, including CNN, TNT, Food Network, and Animal Planet.
"We’ve been very clear that we’re not interested in owning legacy media networks," Sarandos stated in the Q3 investor video. "That hasn’t changed."
Warner Bros. Discovery announced last week that it would explore strategic options after receiving three unsolicited bids from Paramount-Skydance for the entire company.
The board will assess whether to proceed with its planned spin-off—separating Warner Bros. studios, HBO, and HBO Max from its TV networks—or pursue a full or partial sale.
Comcast President Mike Cavanagh told investors Thursday that the company is reviewing media assets "complementary" to its existing business, dismissing skepticism about regulatory approval by stating, "There’s more that’s doable than some public commentary suggests."