Sony Pictures (NYSE:SONY) and Apollo Global Management have placed a $26 billion all-cash bid to acquire Paramount Global (PARA), the Wall Street Journal reported Thursday.
The offer, marking the second attempt by Apollo to purchase the entertainment titan, was presented by Sony Pictures CEO Tony Vinciquerra and Apollo partner Aaron Sobel, is preliminary and intended as a basis for negotiation.
Shares of Paramount surged nearly 14% in Thursday trading.
In the proposed arrangement, Sony would hold the majority stake, with Apollo having a smaller share and no operational control.
This move is part of a broader saga involving Paramount’s majority shareholder, Shari Redstone, whose sale efforts have sparked a shareholder rebellion and led to the resignation of CEO Bob Bakish and four board members at Paramount.
Over the past few weeks, Paramount’s directors have been exploring a merger with Skydance Media, led by David Ellison, and entered exclusive negotiations last month. This exclusivity period ends Friday, opening the possibility for discussions with other suitors.
Previously, Apollo submitted a $26 billion bid for Paramount, which included $12 billion in equity and debt assumption, but concerns about financing reportedly led to hesitation from the board.