Paramount questions ‘fairness and adequacy’ of WBD sale process after reports it favors Netflix

Paramount sent a letter to Warner Bros. Discovery CEO David Zaslav questioning the “fairness and adequacy” of the media giant’s sales process – nodding to reports the media giant is leaning toward a bid from Netflix.

Bankers for Paramount Skydance, Comcast and Netflix all reportedly submitted second-round bids to WBD this week to take over some or all of the company’s assets.

Netflix has made a mostly cash offer to purchase the Warner Bros. studio and HBO Max, while Paramount has submitted an all-cash bid for the entire company, The Post previously reported.

“It has become increasingly clear, through media reporting and otherwise, that WBD appears to have abandoned the semblance and reality of a fair transaction process, thereby abdicating its duties to stockholders,” Paramount’s attorneys at Quinn Emanuel wrote to Zaslav, according to a copy of the letter obtained by CNBC.

The letter added that WBD has apparently “embarked on a myopic process with a predetermined outcome that favors a single bidder.”

“We specifically request and expect this letter will be shared and discussed with the full board of directors of WBD.”

The letter, in particular, called out reported “enthusiasm by WBD management for a transaction with Netflix.”

The Post previously reported on mounting speculation that WBD is favoring a deal with Netflix, as insiders noted Netflix CEO Ted Sarandos is said to be close with WBD’s Zaslav.

In a response on Thursday WBD told The Post that lawyers for Warner Bros. told Paramount it has shared the letter with members of the WBD board, adding that the company has “robustly complied” with fiduciary obligations.