Wall Street Banks Boost Warner Bros Loan to Over $10 Billion Ahead of Paramount Bid

Wall Street banks led by JPMorgan raised Warner Bros Discovery’s loan package to over $10 billion as Paramount readies a roughly $110 billion acquisition.

The dollar term loan was increased 80% to $9 billion while the 1‑billion‑euro tranche remained unchanged.

Context: The financing move comes as Warner Bros Discovery seeks to refinance existing debt ahead of a potential merger with Paramount Global. Banks including Barclays, BNP Paribas, Deutsche Bank, NatWest, RBC, UBS, Wells Fargo and Goldman Sachs joined JPMorgan as bookrunners. The loan terms were reviewed by Reuters on May 21.

Key Facts: The U.S. dollar loan now totals $9 billion, up from $5 billion—a rise of 80%. The euro‑denominated loan stays at 1 billion euros, equivalent to about $1.16 billion at the current $1 = 0.8610 euro rate. Combined, the facility exceeds $10 billion. JPMorgan has already collected $189 million in fees from Warner Bros‑related transactions, per a January Reuters report. Market data shows Warner Bros Discovery (ticker: WBD) with a market capitalization near $20 billion, Paramount Global (PARA) around $10 billion, and JPMorgan Chase (JPM) above $460 billion. WBD shares were little changed in early trading, down 0.3% after the loan news.

What It Means: The larger loan gives Warner Bros Discovery more flexibility to pay down existing obligations and fund merger‑related costs, reducing reliance on higher‑yield bond markets. For Paramount, the financing supports its $110 billion bid, which would combine CBS, MTV, Comedy Central and BET with CNN, TNT and Food Network assets. The deal still faces antitrust review and shareholder approvals.

Watch for: Regulatory filings in the coming weeks and any updates on the merger’s voting timeline, which will determine whether the combined entity can proceed as planned.