Paramount Skydance (PSKY) is prepared to sell its film distribution joint venture with Universal Pictures to resolve EU antitrust concerns over its proposed $110 billion acquisition of Warner Bros. Discovery (WBD), Reuters reported Wednesday, citing a person familiar with the matter.
The proposed remedy, which follows a meeting with EU antitrust regulators on Tuesday, is expected to be submitted next week and would extend the European Commission's review deadline to July 21, according to the report.
Reuters reported that concerns center on the distribution venture rather than Paramount's TV channels, which had previously been considered possible divestiture candidates.
The US Justice Department cleared the acquisition last week, while several US states are preparing a lawsuit to block the deal, the report added.
Paramount did not immediately respond to' request for comment.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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